Southwest Airlines Analysis Case Study
Vision and Mission Statement Development
Southwest Airlines stands out amongst its competitors in the travel industry for many reasons. One of those reasons is the company's ability to change with the times and adopt current strategies that reflect the market trends of today which can affect the profitability of the future for the company.
The recent expiration of the Wright Amendment suggests that Southwest Airlines adopts a more relevant approach to their business model that reflects this current policy change which will allow the company to expand its services to many new markets and essentially deregulating many of the past agreements relevant to the airline industry. DeVoss (2014) agreed with this idea and saw an opportunity for Southwest to grow by maximizing the deregulation efforts. He wrote "The main beneficiary of the Wright Amendment's demise is Southwest Airlines. It has spent the past decade fighting for the right to fly nonstop from its home base in Dallas to major cities throughout the continental U.S."
The current vision and mission statement that this company promotes needs to be altered to represent this new evolution in the way that Southwest Airlines conducts business. That statement reads as the following:
Our Purpose: Connect people to what's important in their lives through friendly, reliable, low-cost air travel.
Our Vision: To become the World's Most Loved, Most Flown, and Most Profitable Airline.
Suggested Alteration
Our Purpose: To connect people to wide array of destinations that makes this company truly unique in its ability to travel to the most and highest quality destinations.
Our Vision: To become the World's most flown and profitable airline while serving the most diverse locations around the globe.
Industry Analysis
Southwest is understood to be involved in the regional airlines industry within the airline services. This industry is very competitive and is highly visible due to the amount of air travel that is undergone in our culture. The current status of Southwest is seeing their expansion push them into a more global competitor and out of the regional status. The recent additions to South America and Mexico has made Southwest's region grow to an international status.
The airline industry is changing very rapidly and interesting trends have developed in accordance with other political, social and economic transformations. The globalization of commercial trade and international interests in general growing substantial popularity it is common sense to understand this industry to grow along with those changes. The demand for air travel has created new markets, new competitors and new opportunities throughout the airline industry and they can impact and manifest in many different ways.
Deregulation has caused major shifts in the industry as companies can find ways to expand their markets that make more sense and deliver a more open sense of competition. Along with this added benefit come the added pressures to perform. Today's airline consumers are very choosy and picky and expectations remain high for low cost fares. Achieving this balancing act is important for those organizations in this industry that want to remain profitable and maintain a competitive advantage within this industry.
Clayton (2015) suggested that other shifts such…
Sample Source(s) Used
References
Clayton, M. (2015). 2015 Aviation Trends. Strategy&, 2015. Retrieved from http://www.strategyand.pwc.com/perspectives/2015-aviation-trends
DeVoss, D. (2014). Southwest Airlines gets a boost from expiration of Wright Amendment. Fortune, 13 Oct 2014. Retrieved from http://fortune.com/2014/10/13/southwest-airlines- gets-a-boost-from-expiration-of-wright-amendment/
Team, T. (2014). What Has AirTran Done For Southwest Airlines? Forbes, 11 Dec 2014. Retrieved from http://www.forbes.com/sites/greatspeculations/2014/12/11/what-has- airtran-done-for-southwest-airlines/
Southwest Airlines Webpage. Purpose and Vision Statement. Viewed 16 Jun 2015. Retrieved from https://www.southwest.com/html/about-southwest/careers/culture.html
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