Southwest Airlines Porter's 5 Forces

Despite operating in one of the most unattractive industries, Southwest Airlines has being very successful in its operations. Its operational success can be attributed to the use of a single aircraft type by the airlines targeted at minimizing the maintenance as well as the operational costs (Jackson et al., 2011). The airline also targets the smaller as well as the less congested airports to minimize delays as well as schedule disruptions. The aircrafts are easily turned around easily minimizing the time spend on air and this is accomplished by minimizing meal services as well as the seating assignments. However, although these are attributed to e the primary reasons behind the aircraft’s success, initiatives by other aircrafts to copy the
These factors are favored by the increased growth in the developed markets such as US that have in the long-run resulted in loosening of the monetary policy. This idea has led to the rise in international trade, business confidence, as well as industrial production and all these factors directly and significantly favor the airline industry. Since the Southwest Airline is on the top position in the airline industry, these economic factors are bound to increase the profit margins of the enterprise and increase its overall productivity as well (Poppendieck,
The Southwest Airlines can also remain competitive by fully utilizing its stronghold, financial stability. This concept can be achieved by expanding its territories margins to venture into new market segments, upgrading its facilities, as well as buying new airlines. Although these initiatives might be costly, but they guarantee the company’s competitiveness in the future as it introduces the company to bigger markets. These measures ensure the company retains their current established market shares and helps the airline in gaining new market shares as well. These strategies will also eliminate copycats and maintain the company’s uniqueness in the type of products and services it offers to its customers. Failure to adapt these recommendations will leave Southwest Airlines at the same sport and this will be an advantage for the competitors that will steal the airline’s strongholds and use it against themselves making the competitors more beneficial.
Conclusion
It is very critical that the Southwest Airlines work on its current strategies and initiatives to make them better. Their mission entails giving their customers the best and highly-qualified customer service and this mission entails constantly scanning the environment to identify any opportunities that present themselves and are