Southwest Strategies

Essay by bsgreenhouseUniversity, Master'sA, December 2007

download word file, 2 pages 4.3 1 reviews

Downloaded 25 times

Southwest has done a great job addressing the concerns of its stakeholders, what issues do you see the company needing to address in the future to retain current stakeholders or capture new ones?

Southwest Airlines has created a vision that will last a long time, their passion on caring for their employees and customers with LUV speaks a million words. However, they need to do a little more to continue being successful.

Southwest Airlines is currently being faced by many challenges, which includes high fuel costs, their more aggressive low-fares, competitors, and air traffic and weather delays that results to many of their customers being frustrated.

To be able to retain current employees and capture new ones, Southwest Airlines needs to continue offering the same compensation or even better to all its employees instead of initiating lay-offs or negotiating salary cuts with their pilots and senior managers due to high fuel cost and operational expenses like most of their competitors did after 9/11.

I have flown Southwest Airlines several times and their non-meal flights sometimes can be frustrating to customers who are flying from coast to coast. Peanuts and a soft drink do not help anyone who left home in California at 6AM and will arrive in the New York at 2PM, when the customer has paid over 400 dollars in airfare. At least a sandwich can help relieve the hunger. The company needs to start providing food to its customers in order to stay competitive.

Being the only Airliner Company that is profitable, Southwest Airlines need to expand into more small towns and other cities. It will need to overcome more obstacles like governmental regulations. In Seattle, Washington Southwest Airlines was unable to negotiate with the local government to switch operating from Seattle-Tacoma International Airport to a smaller, cheaper...