Excerpt coming from SWOT:
Customers complain of smaller cramped seats and hence an uncomfortable trip experience. It is because Southwest would like to accommodate several passengers as it could in one trip and its chairs are thus smaller than these found in various other airlines. This is especially uncomfortable for many who need extra space due to physical challenges.
The different weakness of Southwest is its consumer on-plane experience. Owing to the cost concern, South west put as much seats as it can be in the airplanes and only single class seats, economic. It implies that the scale a seat in Southwest’s airplanes is usually smaller than a seat in other airlines’ aircrafts. Thus, there are several customers could feel not comfortable with the more compact seats since those consumers’ physical problems, like the basketball players. Therefore , the Freebie southwest might manages to lose the business of the people customers with special problems.
Threats:
The threats constantly come from exterior environment. And external environment includes government policies, economic situation and certainly the competitors. While South west had fewer or no opponents in low fare industry for some time good results . the entrance of JetBlue, Southwest is definitely facing fiercer competition. JetBlue has specific advantage more than Southwest in some areas which can prove bad for Southwest’s upcoming. JetBlue arrived 1998 and has become a key competitor. They have newer fleet of aircraft and has also adopted newer technology. It offers an even more pleasant experience to client with personal TV models and a radio station system in the flight. Additionally, it has fewer seats which means customers do not feel cramped and enjoy a more comfortable trip.
JetBlue is also serving individuals destinations that Southwest has ignored. Whilst Southwest selects to provide only smaller airports due to cost issues, JetBlue have not adopted this tactic and is providing flights by many significant locations. This can be a serious danger to South west since many of its prospective customers now have the alternative to choose JetBlue.
The external situation is likewise not beneficial due to the constraints on airlines imposed after September 14 attacks. There are more safety costs right now than ever before which is weighing heavily on on the monetary health on most airlines. Whilst Southwest has managed to excel, it are unable to entirely get away the effect of the measures.
Options:
Interestingly the issues that are weaknesses or threats for a company also can become invisible opportunities. Freebie southwest has the experience and popularity behind it meaning it can with certainty enter locations where other airlines might not wish to enter as of this time. It can serve more locations and more air-ports. While the organization wants to stick to its low cost strategy, that cannot disregard the fact that almost all of its prospective customers are soaring out of major places so regardless if it doesn’t give flights by major air-ports, it can select a smaller international airport in the same location and cover more destinations. Such as instead of traveling out of Miami Airport terminal, it can choose to operate coming from Fort Lauderdale airport or perhaps Opa Locka airport. Yet at least Miami can be covered and Southwest will not lose customers
The company also needs to attract clients and hence maximize its consumer bottom by advertising more often and using various channels of communication. No company can at any time sit nonetheless with its current customer base since there are many opponents and numerous hazards. Hence it should enhance their base simply by attracting new clients through progressive communication tactics.
Conclusion
South west enjoys an envious put in place the flight industry today because of its procedure model and its particular low cost tactics. But there is a fall in its revenue which indicates that company may not be as economically sound as it was once. Nevertheless this can be attributed to the decrease in the economy and usually poor current condition of the airline industry. Nevertheless regardless of these types of, Southwest should pay attention to this kind of and improve its providers in no matter what matter it may so that it can thwart the actual threatening elements and also gain more buyers.
REFERENCES
[1] “Southwest Airlines 2005 Form 10-K. ” Gathered December a couple of, 2009. p 1
http://www.southwest.com/about_swa/press/factsheet.html.
[2] “The Mission of Freebie southwest Airlines. inches http://www.southwest.com/about_swa/mission.html. January 1988.
[3] “Southwest Airlines june 2006 Annual report. ” Retrieved Dec subsequent 2009; l 9.
[4] “Southwest Airlines 2006 Annual report. ” Retrieved Dec second
