Southwest Airlines has found ways to differentiate itself from its competitors in order to provide a competitive advantage.
They have always been. A Southwest aircraft arriving with military personnel at Terre Haute Regional Airport in Indiana in 2007. They claim to provide affordability to their customers by providing prices lower than other airlines domestically. This has also increased the revenues for Southwest Airlines over the years.All these strategies along with the fact that Southwest always focus on long-term planning and always implements strategies keeping in view the opportunities that may come up in the future are the reasons why consumers trust Southwest Airlines and chose it instead of other airlines.
The 5 true competitive advantages of data-driven airlines. Why Southwest Airlines’ competitive advantage might be saying ‘no’ Southwest Airlines pioneered a new model for the low-cost airline carrier space. The employee-focused company make its employees' satisfaction a priority. Moreover, they also claim to offer bag free travel to their customers by checking in two bags with no charges, thus providing more convenience to customers and adding up to their customer services. When business conditions decline, only the strong survive. Customers feel connected to the brand and thus remain loyal to it. While Southwest Airlines' entire business model is important, arguably the most valuable competitive advantage has been its deep focus on hiring the right people. Southwest Airlines is one of those companies in the airline industry that has done very well across the world. Also, when it comes to comparing Southwest Airlines with other Airline, this feature is very important for customers, thus is valued as their competitive advantage in the airline industry.Southwest Airlines started its operations in Texas, United States in 1971, which then grew immensely by 1989.
Secondly, the firm sought to identify major threats and opportunities in their competitors, and assess how Southwest could improve and capitalize on markets where their competition failed. (Lucy Nicholson/Reuters) Their rewards system is also designed in a way that it is as convenient and simple as it can get for their customers. This has been one of the main factors that have contributed to the company’s competitive advantage. Also stated on their website, their main focus has always been serving their customers and providing them world-class services. What is the competitive advantage of Southwest Airline?
For most of the last fifteen years, the U.S. airline industry has been one of the least attractive to be in.