...Ryan McHugh Marketing Plan Southwest Airlines Green Initiatives Executive Summary Southwest Airlines was formed in 1971 as a small airline in texas offering services between Dallas, Houston, and San Antonio. Its goal at the time was to provide to customers an airline that got passengers to their destinations on time, for a low price, while making it an enjoyable experience overall. By taking these simple goals and making them a reality for customers, Southwest has been able to expand into a well know and recognized domestic airline. Today the company is able to fly over 100 million passengers a year to 66 cities across the U.S. offering over 3,000 flights daily. Southwest is focused on serving its customers with respect and satisfying customer needs to the best of their ability while maintaining the highest quality service and lowest prices. The company has been able to take advantage of the gaps within the domestic travel market where competitor airlines have failed. These gap exists in low cost service, onboard amenities, excellence in customer service, and the realization of a need for more environmentally friendly airline services. Research and projections indicate that the use of the current business plan coupled with the introduction of Green Initiatives will be sufficient in maintaining the current success and increasing future revenues for the initiatives. In 2007, Southwest began reporting on their current and future environmental initiatives. They have stated...
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...Shannnon Dominique ADDRESS Tel: 020 8663 8812 Mobile: 07904 657 896 Email: Shannonastley@hotmail.com D.O.B. 18TH September 1995 Personal Statement: I am an outgoing individual who enjoys hard work and will always work to the best of my ability. I am flexible, meaning I have the ability to do many different things and I’m ready to learn new things. I am reliable and have the ability to work alone as well as enjoying working as part of a team and getting along with everyone and anyone despite any differences we might have. I am a good communicator who is able to learn quickly and can work well with people at all levels with confidence and determination. My biggest interest is FASHION, I love shopping, buying clothes and looking good. This is why I chose textiles as it has a lot to do with fashion and making clothes. I chose health and social care and sociology as two of my A level subjects because I also like kids and worked in a nursery with babies and kids for my work experience. My last A level I chose is business, I chose business because my aim when in the future is to open my own retail shop that’s got all the latest fashion. Education & Training: September 2007 – Present...
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...Appendix 2 Case Analysis Format (3 pages maximum) Title of the Case Problem Statement: (The problem statement is a one sentence declarative sentence that describes the strategic issue to be examined.) Fast growth, Low profitability? Sustainability Although Southwest cost are low, other competitor are cutting prices and becoming more competitive and therefore they face a problem being sustainable. Cost efficiency. Scenario: (The scenario is a 3-5 sentence summary of the case which includes the names of principles and companies, such facts and details as would be necessary to the understanding of the problem) Southwest Airlines was a market share leader in 2010 in domestic air travel in the U.S., and has continued to be the only carrier in the U.S to remain consistently profitable. The carrier has been able to sustain its position, growth, profit and competitive advantage through the implementation and dedication to a low-cost leader strategy which focuses on low operating costs, low fares, and excellent customer service which has become a major part of its culture and marketing. Despite the low costs strategy, and continually reported profit, the carrier has lost money between 1980 through 2009 as evidence by combined annual losses exceeding combined annual profits by $43.2 billion. Although it is apparent that the carrier’s competitive cost advantage has shrunk and operating costs are beginning increase, their low cost strategy has allowed them...
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...2010 CASE STUDY ON SOUTHWEST AIRLINE CHUOP Theot Therith TABLE OF CONTENT Table of Content 1. Case Abstract .......................................................................................................................................................... 1 2. Propose a Vision Statement............................................................................................................................ 2 3. The company mission statement and mission statement proposed .................................................. 2 4. List the corresponding Mission Statement components ......................................................................... 2 5. Perform an External Audit.............................................................................................................................. 3 6. Competitive Profile Matrix (CPM) ............................................................................................................... 5 7. The EFE Matrix .................................................................................................................................................... 5 8. Perform an Internal Audit ............................................................................................................................... 7 9. The IFE Matrix ..................................................................................................................................................... 8 10. TOWS Analysis...
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...The Economic Impact of Civil Aviation on the U.S. Economy August 2011 Contents 3 4 6 6 8 12 18 18 19 19 20 20 25 26 28 30 32 36 38 38 40 40 42 44 48 Foreword Overview Introduction Economic Impact of Civil Aviation Highlights Current Outlook Impact of the Recession on U.S. Airlines, Coping Strategies and Future Outlook National Impact of U.S. Civil Aviation Methodology Types of Economic Impacts Measures of Economic Impacts Update Results Aviation’s Contribution to Gross Domestic Product Real Change from the Previous Year Manufacturing General Aviation FAA Spending Overview Enabling Impact Passenger Expeditures Freight Flows Freight Exports Domestic Air Freight Conclusion Appendix – Supplemental Tables Glossary of Economic Terms Foreword Look around. In today’s ever-changing and innovative world, aviation provides a vital link to economic opportunities at home and abroad. In the wake of global economic and financial uncertainties, runways have become the new main streets for cities and towns to get down to business and soar once more. In 2009, civil aviation supported over 10 million jobs, contributed $1.3 trillion in total economic activity and accounted for 5.2 percent of total U.S. Gross Domestic Product (GDP). Civilian aircraft engines, equipment and parts also contribute $75 billion toward the U.S. trade balance. Civilian aircraft engines, equipment and parts have been the top net export for the past decade. Our economic success clearly depends on the success of...
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...Contents South West Airlines 4 Goals and Objectives 5 Their Mission and Vision Statement 5 Strengths 6 Weaknesses 6 Opportunities 8 Threats 8 Analyzing company’s external environment 9 Analyzing the nature and strength of competitive forces 11 Competitive pressure stemming from bargaining power of buyer: 16 Determining whether the collective strength of the five competitive forces is conductive to good profitability: 17 Competitive pressure from seller of substitute products 18 Sign that competition from substitute is strong 19 Competitive pressure stunning from supplier bargaining power 20 PESTEL ANALYSIS 24 SCENARIO PLANNING 56 SCENARIO NO.1 58 SCENARIO NO.2 59 SCENARIO NO.3 59 SCENARIO NO.4 60 SCENARIO NO.5 60 SCENARIO NO.6 60 SCENARIO NO.7 61 SCENARIO NO.8 61 Competitors Objectives 62 Competitor's Current Strategy 63 Competitor's Resources and Capabilities 64 Competitor’s Assumptions 66 Regional Factors 67 Value chain activities: 68 Key competitive advantages: 72 Solutions: 82 Weights of Key success factors in five airlines: 86 COMPETITIVE ADVANTAGE 92 FIVE GENERIC COMPETITIVE STRATEGIES: 92 LOW COST PROVIDER STRATEGIES: 92 DIFFERENTIATION STRATEGIES: 95 BEST-COST PROVEDER STRATEGIES: 96 FOCUS (MARKET NICHE) STRATEGY: 96 STRATEGIC ALLIANCE AND PARTNERSHIP: 97 MERGER AND ACQUISITION STRATEGIES. 98 VERTICAL INTEGRATION. 98 OUTSOURSING. 98 OFFENSIVE...
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...“Planning is the function of management that involves setting objectives and determining a course of action for achieving these objectives” (Barnett, 2006). Barnett (2006) further discusses that this is exceptionally difficult because planning requires management staff with a great deal of foresight and a strong ability to adapt to changes in the field. For this assignment we analyzed Delta Airlines, and an organizational goal they had was to be a global leader in daily flights. The first step they took was to partner with AirFrance to found the SkyTeam global alliance, and through this program Delta is able to offer over 15,000 different flights daily across the globe (Delta Airlines, 2014). This speaks to the strength of Delta as an organization because they were able to stay in business in the wake of the 9/11 attacks even after launching this program, and are a global financial powerhouse with annual revenue reported for 2013 to be $37.7 billion (Delta Airlines, 2014). “Controlling involves ensuring that performance does not deviate from standards” (Barnett, 2006). In addition there are three steps to controlling in management. Those steps are to recognize and establish an expectation, then to measure results against the expectation, and to hold those accountable to the expectation with corrective action if necessary. Delta currently has an environmental sustainability report which defines a few various goals. One goal they established in 2009 was to increase fuel efficiency...
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...Dictionary of Travel, Tourism and Hospitality By the same author Britain – Workshop or Service Centre to the World? The British Hotel and Catering Industry The Business of Hotels (with H. Ingram) Europeans on Holiday Higher Education and Research in Tourism in Western Europe Historical Development of Tourism (with A.J. Burkart) Holiday Surveys Examined The Management of Tourism (with A.J. Burkart eds) Managing Tourism (ed.) A Manual of Hotel Reception (with J.R.S. Beavis) Paying Guests Profile of the Hotel and Catering Industry (with D.W. Airey) Tourism and Hospitality in the 21st Century (with A. Lockwood eds) Tourism and Productivity Tourism Council of the South Pacific Corporate Plan Tourism Employment in Wales Tourism: Past, Present and Future (with A.J. Burkart) Trends in Tourism: World Experience and England’s Prospects Trends in World Tourism Understanding Tourism Your Manpower (with J. Denton) Dictionary of Travel, Tourism and Hospitality S. Medlik Third edition OXFORD AMSTERDAM BOSTON LONDON NEW YORK PARIS SAN DIEGO SAN FRANCISCO SINGAPORE SYDNEY TOKYO Butterworth-Heinemann An imprint of Elsevier Science Linacre House, Jordan Hill, Oxford OX2 8DP 200 Wheeler Road, Burlington MA 01803 First published 1993 Reprinted (with amendments) 1994 Second edition 1996 Third edition 2003 Copyright © 1993, 1996, 2003, S. Medlik. All rights reserved The right of S. Medlik to be identified as the author of this work has been asserted...
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...Running head: SW Airlines Case Study Case Study Southwest Airlines Cardinal Stritch University Advanced Marketing Management CMB 508 September 3, 2013 Scott A. Braucht, MBA Professor In the 1940s travel via airplane was a privilege. Men wore a suit and tie and women wore dresses with a hat and gloves. Parents would endure a 27 hour flight from the middle of the country to Hawaii to see their soldier son at Pearle Harbor. Air travel was a luxury. Customers expected the best in treatment. Chef prepared meals were served on white china with glassware and silverware. A lot has changed since that time. There are a number of discount airlines today. They come and go, but Southwest Airlines has managed to stay in the business since 1971. Their success is due in part to the successful identification of their market and the needs of their customers. Southwest Airlines primary marketing strategy included bright red heart logos and catchy phrases for its peanuts (meals) and their drinks. As it grew, Southwest Airlines became known as the airline with cheap fares, on-time service and, most recently, not charging for luggage when other airlines started to do so. Passengers flying on Southwest Airlines are entertained by the pilots and flight attendants who tell jokes, describe funny facts of the areas as they fly over, and even burst into song. The flights are shorter than other airlines and the planes are turned around on the ground faster than the industry average...
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...Mission: Who are we: Low-cost airline focused on Texas and southwest part of the U.S. Target: people seeking public transportation that would otherwise use other means of transportation. What do they do: Southwest provides transport for small distance flights at a low cost with the most basic necessities for flight passengers in an enjoyable environment and good mood. Why? To provide customers with an alternative to road transports by reducing travel time and an alternative to other companies airlines by reducing costs. Vision: expand MS from 45% to 55% and expand to new markets. By the 3rd quarter in 1995 we expect to reduce the cost per available seat mile to 6.9 cents of dollars. We expect to increase our total revenues per 10% every year within the next 3 years. We shall get a return on average stockholders equity of 20% in 3 years. We shall increase the size of our fleet to 250 in 3 years and expand our traffic to the east cost. Strategic objectives: -Expand to……. -Maintain…… | Cost per Seat | Return For Shareholders | Total revenues | Fleet Size | 1995 | 7.01 | 17.5% | | 200 | 1996 | 6.95 | 18.5% | | 225 | 1997 | 6.90 | 20% | | 250 | Sector definition: Low cost airlines in the west of the US, competitors such as USair, continental, united, American airlines, Delta etc and road and rail transportation. External Analysis: PEST: Political/legal: Government laws regarding aviation safety or airport hubs, customer...
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...SOUTHWEST AIRLINES CASE STUDY COMPANY OVERVIEW Southwest Airlines Co. (“Southwest”) is a major U.S. airline that primarily provides short haul, high frequency, point-to-point, low-fare service. Southwest was incorporated in Texas and commenced operations on June 18, 1971 with three Boeing 737 aircraft serving three Texas cities-Dallas, Houston, and San Antonio. Southwest has the lowest operating cost structure in the domestic airline industry and consistently offers the lowest and simplest fares. It also has one of the best overall customer service records. LUV is Southwest’s New york Stock Exchange symbol, selected to represent the company’s home at Dallas Love Field, as well as the theme of Southwest’s employee and customer relationships (Southwest Airlines Investors Relations statement at www.southwest.com10/10/04). Vision: To have a conservative increase growth, capitalize and cutback schedules of other airlines. To continue expanding conservatively in long-haul success. The company’s mission is clearly stated and communicates its information throughout the organization and to its customers. The Mission of Southwest Airlines is dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and company Spirit. To our employees we are committed to provide our Employees a stable work environment with equal opportunity for learning and personal growth. Creativity and innovation are encouraged for improving the effectiveness...
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...Southwest Airlines prides itself in being a company with “heart”. We know this because it is something its employees as well as customers have said about Southwest Airlines. Southwest Airlines began flying in 1971 and they keep going strong. Southwest seems to understand that doing what other airlines are doing simply because it can benefit their profit margin. Standing out from the crowd is what has allowed Southwest Airlines to be known as a company with heart. I have to say that I have flown Southwest Airlines as well as several other airlines. Knowing that the price I see is the final price since I don’t have to pay for my bags is a relief. In a time where people are trying to save money to afford a family vacation, every little bit helps and makes it that much easier to relax during that vacation. Although it may make Southwest Airlines more money to charge for bags, they will also lose their advantage over the other airlines. Southwest Airlines likes creating a fun work environment. This is something I have seen other companies try to do for their employees. I work for Verizon Wireless and there are several activities they do to make it fun to show up for work. Although this may not ensure everyone will thrive in this type of work environment, when dealing in customer service, every little bit helps. Before going this route, I dreaded waking up in the morning to go to work and deal with people who would be screaming at me on the phone. I’m not saying they don’t scream...
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...Introduction The intent of this paper it to define critical concepts of strategic planning with Southwest Airlines (SWA) top management and how their organization pursued choices and different strategies to run the business by using superior performance employees that gave them a competitive advantage over their competitors. I will concentrate on the thirteen strategic staffing decisions that are critical for any organization to be successful. I will also emphasis the knowledge, skills, abilities, and others (KSAOs) relative to the staffing process and how the company teaches these skills to the employees. This paper will focus on the success of the employees of the organization through the eyes of its past CEO Herb Kelleher. “We want to show them they’re important to us as who they are, as people. And by the way, one ramp agent - I have not disclosed this - sent me a note one day which I’ve never publicized, and I think you’ll understand why.” He said, “Herb, I finally got it. Your making work fun, and home is work.” (Herb Kelleher 2013) SWA was formed in 1971, to serve the inner cities within Texas but by 1998, it had 24,000 employees and 2,500 flights per day. The business was growing fast and the company worked hard at developing and maintaining a culture that it still emphasizes and instills today; flexibility, family orientation, and fun. Southwest airlines philosophy is about the people. It has been consistently successful with great employees and less than strenuous...
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...Group and Southwest Airlines Co. | | 2/11/2012 | Introduction For the purpose of this paper, Alaska Air Group (ALK) is the subject of the primary financial analysis with the majority of comparisons made against Southwest Airlines Co (LUV). For financial purposes, the airline industry falls under the transportation sector, consisting of airlines, railroad, and trucking and characterized by the movement of people and products. For the purpose of this analysis, comparable airline carrier ratios are used. An enhanced look into the specifics of Alaska and Southwest’s financial statements and accounting methods explain their positioning in the airline industry and reflect their performance in recent years. Activities Alaska Airlines reported record earnings for the year 2010, with a $203 million improvement from 2009. A 9.8% increase in passenger traffic over the previous year drove the revenue increase (Alaska Air Group, Inc., 2011). Alaska also led the ten largest carriers in on-time performance for the year. For the third year in a row, it ranked highest in customer satisfaction among traditional network carriers, as listed by J.D. Power and Associates (Alaska Air Group, Inc., 2011). Challenges * The safety and financial results could be harmed in the event of an accident or incident * Changes in government regulations or restrictions could drive operating costs up * Security concerns related to the airline industry as a whole * Labor...
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...BestJet B: The European budget airline industry: origins, growth, market and competition May 2006 __________________________________________________________________ Allan Kinross prepared this case. It is intended to be used as a basis of class discussion rather to illustrate the effective or ineffective handling of an administrative situation Introduction to the European budget airline industry After 9 years of spectacular growth and success, at the beginning of 2006 the European low cost budget airline sector still faced a number of challenges. Though the industry had consolidated with easyJet’s acquisition of Go and Ryanair’s takeover of Buzz, every month in the new millennium seemed to see the start up of new budget airlines and new routes or bases being announced. There were over 75 in autumn 2004. Leading players, easyJet and Ryanair, had orders between them for over 300 aircraft requiring both to more than double in size in the face of growing competition from new entrants, a fight back by established airlines and powerful tour operators. In the two and a half years to October 2004, average seat prices had continued to fall, and Ryanair had not managed to sell all of its ‘free’ seats on offer in special promotions. Revenues were under attack from extreme overcapacity and costs were hit by high fuel prices. In the future, would there be enough (profitable) growth for all, and where would that growth...
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