Professor
Course
Date
Strategic Management:
SkyWest Airline Marketing Strategy Formulation/Implementation
I. Introduction Strategic management is the successful adaptation of the organization to its environments to gain sustainable competitive advantage. Its distinguishing characteristics include: Total Entity and Future Oriented. Company History SkyWest, Inc. is a holding company for SkyWest Airlines which is headquartered in St. George, Utah. Originally, the company was meant to aid transportation for businessmen who were traveling between Salt Lake City and St. George, Utah. On April 26th of 1972, Ralph Atkin bought Dixie Airlines and started SkyWest Airlines. The operation included a Fixed Base Operation which offered maintenance for aircraft, as well as air charter services, flight school, and air ambulance services. That same year the company launched their passenger service and flew their first scheduled flight. At the time, flights would range in cost from $28 to $25 for trips from St. George to Salt Lake City or from Cedar City to Salt Lake City. That first year 256 people used the services offered by SkyWest. The following year, SkyWest added Las Vegas as a scheduled destination, while the first customer service manual was written and over two thousand passengers fly on the airline. In 1974, Jerry Atkin joined the company as the Director of Finance and while the company battled the question of whether to remain in business, almost twelve thousand customers used the airline, making a 650% increase. Though 1974 saw such a dramatic increase in customers, 1975 saw over $300,000 in losses and no one would even take the company for free. The Director of Finance became the president at the age of 26. The following year, SkyWest became profitable with a net income of just over seventeen thousand dollars. The same year the company became debt free after paying off all of the creditors. By its five year birthday, over twenty