Southwest Airline Case Study

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SOUTHWEST AIRLINES, INC|
CASE STUDY ANALYSIS|
COMPARING PAST WITH PRESENT|
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12/14/2010|

STRATEGIC MANAGEMENT (Section F)
Course Instructor: Mr. AbdulQadir Molvi
Submitted by
(Alph. Order): NUTS AND BOLTS
Abdul Basit Malik (9045)
Hafsa Saleem (8828)
Maaz Ismail (7192)
Muhammad Faizan Ali (7126)
Muhammad Hassan (8780)
Saba Muhammad Arif (9313)
Sana Tawfik (8609)

LETTER OF ACKNOWLEDGEMENT

Our instructor MR. ABDUL QADIR MOLVI assigned a report of STRATEGIC MANAGEMENT on SOUTHWEST AIRLINES. We have tried to prepare this report in such a way that fulfils the essence of this course. We wish to extend deepest gratitude to Allah the most Gracious and the most Merciful, Who made this study possible and successful. Special thanks to MR. ABDUL QADIR MOLVI, our course supervisor of STRATEGIC MANAGEMENT at Iobm, for his guidance and imparting knowledge to us with full devotion and honesty. Sincerely

NUTS AND BOLTS
Abdul Basit Malik (9045)
Hafsa Saleem (8828)
Maaz Ismail (7192)
Muhammad Faizan Ali (7126)
Muhammad Hassan (8780)
Saba Muhammad Arif (9313)
Sana Tawfik (8609)

LETTER OF TRANSMITTAL

14th December, 2010
Mr. Abdul Qadir Molvi
Faculty, Strategic Management
Institute of Business Management

Dear Mr.Molvi

Please accept this Term Report on ‘Case Study Analysis of South West Airlines’ as assigned by you. This report is the result of the information sorted, screened and compiled after a rigorous research conducted on the above stated topic.

Regards,
NUTS AND BOLTS
Abdul Basit Malik (9045)
Hafsa Saleem (8828)
Maaz Ismail (7192)
Muhammad Faizan Ali (7126)
Muhammad Hassan (8780)
Saba Muhammad Arif (9313)
Sana Tawfik (8609)

TABLE OF CONTENTS

EXECUTIVE SUMMARY

This report gives an insight of Southwest incorporation .It focuses on strengths, weakness, opportunities and threats of southwest .In order analyze Southwest Inc., we have used different analytical tools such as TOWS, Porter Model, EFE/IFE, Grand Strategy, and Space Matrix. We Have divided our report in two parts in order to do a comparative analysis of south west airline .The first part we have analyzed is the case i.e. Southwest airline in our book of Strategic management by Thompson Strickland .Second part we have analyzed includes Southwest airline current scenario from 2001 to 2010. In First Part we have taken the scenario from 1996 to 2000 in which there is a SWOT analysis of southwest airlines In which the strength of southwest airlines are successful competitive low cost strategy ,customer focus etc. Weaknesses are too stringent cost reduction strategy and financial etc Threats are fuel prices; intense rivalry etc and opportunities are exploring new markets, separate business class services. Since we have used analytical tools we have calculated Internal factor analysis and external factor analysis where Southwest scored “3” in IFA and “3.2”in EFA .We have also Compared Southwest airline from other airlines that is Delta and American airlines .Ratio analysis are shown from different graphs in order to understand the trends in southwest airlines. In Second Part of this report contains the analysis of current scenario of Southwest airlines from 2000 till 2010 .We have also done the SWOT analysis in order to compare the situation of the company from the previous one for this purpose this report contains calculation of IFA and EFA .in current scenario southwest scored 3.5 in IFA and 3.1 in EFA . According to our findings southwest airlines Organizational culture is different from the other companies in the industry because they are open to learn new things and they believe in valuing their employees more than their customers. The most important opportunities for Southwest Airlines is to expand and grow itself in the international markets ....
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