Southwest Airlines Case Study Example | Topics and Well Written Essays - 500 words - 2

Southwest Airlines - Case Study Example In addition, the company viewed offering the air service as an innovative and environmentally responsible industry driving at economic and social progress (Rochat, 2007). The fun campaign led by Keller and involving crews and all employees was an innovative way of making their flights a fun to all customers. Another factor behind the success was the cost cutting strategies which included contracting fleet maintenance and fuel supplies, fewer than average operators and crews in all its services, and the no frill policy was a different approach that ensured the company minimized its costs. Morrison (2001) elaborates how the low cost Carriers had to adopt some of the strategies used by Southwest to cut costs. Making employees as part of a larger family of Southwestern Airlines was perhaps the largest asset that the company utilized to succeed in the market. Brueckner, Lee & Singer (2012) elaborate one of the main characteristics of LCC as cutting costs while still charging very low fares compared to major airlines. The 10 to 15 turnaround therefore ensured Southwestern airline maximum usage of its fleet while carrying a below average or average number of customers per trip. In addition, the high turnaround ensured the business class customers could effectively use the company due to reliability, speed and effectiveness of reaching these destinations, including the ability to acquire a ticket in the airline’s gates and board the next flight to their destination. The high turnaround therefore translated to more customers due to reliability, and effectively utilizing the fleet, which increased the company’s profits. One of the challenges faced is flooding of other low cost carriers in the market with better services, the threat of terrorism rapidly increasing in air transportation making the turnaround required difficult to maintain, and rising fuel costs that may increase its operating costs in addition to the tantrums in global economy. According to