Southwest Swot Analysis
Business SWOT Analysis
Abstract
As a mutual fund manager, I have decided to conduct some research on Southwest Airlines. I will provide an overview of the company’s history, and an analysis of their strengths, weaknesses, opportunities, and threats (SWOT). While there wasn’t any rhyme or reasoning behind my selection, I do feel that Southwest Airlines is one of the leading airlines in the United States. Conducting a SWOT analysis will help me understand what the company’s strengths and weaknesses, identify their opportunities and become aware of their threats. I will also determine the company’s internal and external stakeholders, and their needs. From my research I will decide whether I should invest in this company.
History of Southwest Airlines
Southwest Airlines was established in 1967 as Air Southwest Company. The founders were Rollin King and Herb Kelleher. Southwest started airline service with three Boeing 737 planes. Flights were to three cities in Houston, Dallas, and San Antonio, Texas; the service began in 1971. This was also the year the company changed their name to Southwest Airlines Company. In 1977 Southwest Airlines began traded on the New York Stock Exchange under the symbol “LUV”. Southwest began offering a frequent flyer program in the 1980’s. This program allowed passengers to collect miles for flights taken and after accumulating so many, the passenger was allowed to redeem for credit on a free flight or a reduced flight. Southwest legal fight began in the 1980s when other airlines took legal action to keep Southwest on the ground. Shortly after, Southwest began offering senior citizens 65 years and older flights at twenty-five dollars each way Monday thru Friday between 9:00 a.m. and 3:00 p.m. As the years passed the company offered flights to more and more cities. Their top priority was getting customers to their destination timely and at the lowest fares. By the early 1990s, Southwest Airlines had grown to be the nation’s
Abstract
As a mutual fund manager, I have decided to conduct some research on Southwest Airlines. I will provide an overview of the company’s history, and an analysis of their strengths, weaknesses, opportunities, and threats (SWOT). While there wasn’t any rhyme or reasoning behind my selection, I do feel that Southwest Airlines is one of the leading airlines in the United States. Conducting a SWOT analysis will help me understand what the company’s strengths and weaknesses, identify their opportunities and become aware of their threats. I will also determine the company’s internal and external stakeholders, and their needs. From my research I will decide whether I should invest in this company.
History of Southwest Airlines
Southwest Airlines was established in 1967 as Air Southwest Company. The founders were Rollin King and Herb Kelleher. Southwest started airline service with three Boeing 737 planes. Flights were to three cities in Houston, Dallas, and San Antonio, Texas; the service began in 1971. This was also the year the company changed their name to Southwest Airlines Company. In 1977 Southwest Airlines began traded on the New York Stock Exchange under the symbol “LUV”. Southwest began offering a frequent flyer program in the 1980’s. This program allowed passengers to collect miles for flights taken and after accumulating so many, the passenger was allowed to redeem for credit on a free flight or a reduced flight. Southwest legal fight began in the 1980s when other airlines took legal action to keep Southwest on the ground. Shortly after, Southwest began offering senior citizens 65 years and older flights at twenty-five dollars each way Monday thru Friday between 9:00 a.m. and 3:00 p.m. As the years passed the company offered flights to more and more cities. Their top priority was getting customers to their destination timely and at the lowest fares. By the early 1990s, Southwest Airlines had grown to be the nation’s
References: Aviation Online Magazine. (n.d.) History of Southwest Airlines Retrieved from http://avstop.com/history/historyofairlines/southwest.html About Southwest. (n.d.) Retrieved from http://www.southwest.com/html/about-southwest/index.html?int=GFOOTER-ABOUT-ABOUT CNN Money. (2012) Retrieved from http://money.cnn.com/magazines/fortune/most-admired/2012/full_list/ Keli Flynn, "SOUTHWEST AIRLINES," Handbook of Texas Online (n.d.) Retrieved from http://www.tshaonline.org/handbook/online/articles/eps01), AirTran frequently asked questions (n.d.) Retrieved from http://www.airtran.com/ faq/swa_faq.aspx Southwest company profile, (n.d.) Retrieved from http://southwest.investorroom.com/ About Southwest (n.d.) Retrieved from http://www.southwest.com/html/about-southwest/ index.html