October 12, 2008
Marketing – Resnik
Case Study: Southwest Airlines
Air travel has its ups and down, as does basically any type of travel. However, Southwest Airlines has always been my favorite airline to fly. As a young single who loved traveling, I found their fares and schedules to be the most convenient for my taste. I always appreciated the staff’s sense of humor, and it really never bothered me where I sat, so I didn’t mind the “A, B, C” boarding groups as opposed to assigned seats: I actually appreciated the freedom of choice. It wasn’t until after a couple of marketing classes that I realized the things I preferred about Southwest were intentional marketing strategies that the company used to differentiate themselves. In the Strategic Marketing Problems textbook, by Roger Kerin and Robert Peterson, the Southwest Airlines (SWA) case provides for analysis during a major turning point for the industry in 1995. Using the Principles of Marketing textbook, by Philip Kotler and Gary Armstrong, one can easily breakdown, comprehend, and analyze the information provided in the case study. Two key principles can be used in understanding the market environment: microenvironment and macroenvironment. As Kotler states: the company’s microenvironment consists of other actors close to the company that combine to form the company’s value deliver network or that affect its ability to serve its customers. It includes the company’s internal environment. With regard to macroenvironment, Kotler explains that there are larger societal forces that affect the entire microenvironment, and the six forces making up the company’s macroenvironment include demographic, economic, natural, technological, political, and cultural forces. There are both internal and external environments that play a huge role in the situation analysis mentioned above. Situation analysis is two-fold: internal analysis can identify the firm's strengths and weaknesses and...
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