South-West Airline Company Harvard Case Solution & Analysis

Strategic profile and case analysis:

Southwest airline is formed in 1971. The airline was started by Rollin King and Herb Kelleher. The one most famous and efficient domestic airline service was simply started by the mission to provide an easy comfortable low fared and on time flight to the passengers, so that the passengers would consider them and travel with them more. It is the fourth largest airline in United States registered on NYSE. The company is highly dedicated to provide world class customer service with the friendliness in attitude. The airline service primarily provides short-haul, point to point service with the low fares as compare to other airlines. The company has its operation in 59 major cities. The company has built up its business strategy on operating low cost structures and simplicity of fares. The strategic innovation that the company has brought in the airline industry is it is one of the airline company that offers profit-sharing plan with employees. The first company to introduce online tickets booking and also the initiator of ticket-less travel system worldwide. The company is always keen and make sure that they provide services with high integrity, using the latest technology by ensuring safety and efficiency measures fulfilling the long term prospects and mission statement of the company. The company has also been affected greatly after the terrorist attack of September 11, but has been proved as one of those companies that remained profitable inspite of everything. The company has remained efficient and one of the best cost effective ventures as in comparison with the competitors.

South-West Airline Company Harvard Case Solution & Analysis

The main problem that is going to be discussed in the case, is how to retain the cost leadership among the competitors, the competitors has launched in-line shuttle airline service to intensify the competition and to compete with the south-west airline domestically. Since the beginning of the organization, the company has sustained its competitive advantage by considering the role of human resources and utilizing the people of the organization in an effective way, by making appropriate relations and empathizing their needs and make them feel as valuable assets for the organization. The competitors is now in the way to imitate their strategy and in the development of the new in-line airline service that would ultimately be a cause of threat for the organization. The analysis would result in suggesting or redrafting suitable strategies for the organization and making appropriate guidelines for retaining the competitive edge and maintaining the unique identity in the domestic airline market of US.

Situational analysis:

Since the company has been running in the profitability so far, given that the low fares of the company had made this possible. The confidence that the customers reposed in the airline service and the loyalty that has been showed by the customers so far are the results of the continuous mission statement fulfillment by the company. The airline company has placed the customers and their needs first. The simple cost cutting strategy has provided the advantages to the company that has made the company to stand at the current position.........

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