SWOT ANALYSIS
SWOT ANALISYS
STRENGHT
1. SW has all flights going to cities within the United States.
2. Use point-to-point flight system with no hubs one way.
3. Ability to determine cost/prices within the organization.
4. Leader in market capitalization.
5. Largest in US by the number of passengers carried yearly and 3rd in the world.
6. One of the world’s most profitable and highest posted profits for 34 consecutive years
7. Low prices and relaxed atmosphere made it an icon.
WEAKNESESS
1. SW has highest percentage of full-time employees leading to increased overhead.
2. SW only flies one plane, the Boeing 737.
3. They will not fly outside the continental United States, 63 cities and 32 states.
4. Difficult to convince customers SW offers benefits other airlines do not
5. Does not accommodate for severely handicapped.
6. Does not provide a first class for passengers.
7. Do not provide assigned seating.
OPPORTUNITIES
1. - Growing US airlines Industry
2. -Codesharing relationship with Westjaet and volaries
3. -Positive growth in the US airfreight industry
THREAT
1. -Economy slowdown in the US
2. -Intense competition
3. - Airline regulations
TOWS
SO STRATEGIES
1. Through increased advertising online southwest can increase flight bookings.
2. Using a point-to-point system SW can increase flights with business travelers who need timely flights.
3. Use incentives to purchase flights using credit cards to increase profits.
4. Less expensive flights, due to cutting fuel costs by $155M, leave market capitalization available on areas where airline companies no longer fly due to bankruptcy.
5. Cut ticket cost by $2.00, but add a charge of $2.00 to each extra bag
WO STRATEGIES
1. Hire more part time workers
2. Add new technology to older planes in order to become up-to-date and accommodate the handicapped.
3. With airline companies selling planes SW can purchase models similar to the 737, which could
STRENGHT
1. SW has all flights going to cities within the United States.
2. Use point-to-point flight system with no hubs one way.
3. Ability to determine cost/prices within the organization.
4. Leader in market capitalization.
5. Largest in US by the number of passengers carried yearly and 3rd in the world.
6. One of the world’s most profitable and highest posted profits for 34 consecutive years
7. Low prices and relaxed atmosphere made it an icon.
WEAKNESESS
1. SW has highest percentage of full-time employees leading to increased overhead.
2. SW only flies one plane, the Boeing 737.
3. They will not fly outside the continental United States, 63 cities and 32 states.
4. Difficult to convince customers SW offers benefits other airlines do not
5. Does not accommodate for severely handicapped.
6. Does not provide a first class for passengers.
7. Do not provide assigned seating.
OPPORTUNITIES
1. - Growing US airlines Industry
2. -Codesharing relationship with Westjaet and volaries
3. -Positive growth in the US airfreight industry
THREAT
1. -Economy slowdown in the US
2. -Intense competition
3. - Airline regulations
TOWS
SO STRATEGIES
1. Through increased advertising online southwest can increase flight bookings.
2. Using a point-to-point system SW can increase flights with business travelers who need timely flights.
3. Use incentives to purchase flights using credit cards to increase profits.
4. Less expensive flights, due to cutting fuel costs by $155M, leave market capitalization available on areas where airline companies no longer fly due to bankruptcy.
5. Cut ticket cost by $2.00, but add a charge of $2.00 to each extra bag
WO STRATEGIES
1. Hire more part time workers
2. Add new technology to older planes in order to become up-to-date and accommodate the handicapped.
3. With airline companies selling planes SW can purchase models similar to the 737, which could