MARKETING

Markets and Marketing Module

Executive summary

The marketing report is a detail strategic analysis of Southwest Airlines, which is one of the largest airline companies operating from across the globe. The first section of the report covers detail analysis of the Company, for instance, it is known as the largest domestic airline company operating in USA.

Domestic Industry of USA has witnessed numerous difficulties in the last five years, primarily because of unexpected fluctuation of dollar in global environment, and disastrous economic condition. This report has provided detailed analysis of company operational activities, and impact of external factors like increase or decrease in corporate level prices, impact on company profit because of unexpected increase or decrease on the prices of crude oil.

Because of crude oil extreme importance to airline business, slight increase or decrease in its prices has a comprehensive impact on company working expenses, and can plays a vital part in changing the percentage of income earned from international and domestic services. In addition to this, this paper has extensively discuss the company performance according to the Michael porter five forces model,

According to porter five forces model threat of new entrant in airline industry is minimal for South West Airlines, However, the company is facing extensive threat from its competitors in form of close substitute. On the other hand, company is facing high bargaining power of customer because of extensive competition, whereas low bargaining power of supplier as compare to its competitors because of strong relationship and trust among its suppliers. Further, to support the five forces model, this report has also discussed the PESTEL analysis of the company and has analyzed the strength, weakness, opportunities, and threats using the SWOT analysis model. Last section of the report disused the competitive advantages, and strategy used by the management of the company in running the operation of the company, which are then followed by valuable recommendations and conclusion.

1. Introduction 5

2. methodology5

3. Backgroud to UK airline industryndustry6

4. External analysis7

4.1 Corporate Profit7

4.2 World Price of Crude Oil7

4.3 Per Capita Disposable Income7

4.4 Domestic Trips by US Residents8

4.5 Inbound Trips by Non-US Residents8

5. Porter five forces analysis8

5.1 Threat of New Entrants9

5.2 Threat of Substitutes9

5.3 Bargaining Power of Suppliers10

5.4 Bargaining Power of Customers:10

5.5 Rivalry among Competitors11

6. Pestel Analysis11

6.1 Political12

6.2 Economical12

6.3 Social12

6.4 Technological13

7. Internal Analysis13

7.1 Strengths147.2 Weakness14

7.3Oppertunities14

7.4 Threats15

7. Competitive Advantage and Success of Southwest Airlines15

7.1 Southwest People Management Strategy15

8.Strategic recommendations16

9.Conclusion18

10. Bibliography19

10. Annotiated Bibliography21

Southwest Airlines

Introduction

Southwest Airlines is one of the greatest aerial transports measured by the travelers conveyed each year in the United States. The carrier is moreover known rebate air transport, in connection with its contestants. Rollin King and Herb Kelleher established southwest in 1971. The main operation of aerial shuttle was Dallas to Houston and San Antonio with basic managing structure.

The air transport began with a basic procedure; which was to furnish the clients carrier aid with extremely moderate rates as contrast with different aerial transports. Southwest's superb human asset and individuals administration is the ...