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Southwest Airlines SWOT Analysis

Published in Airlines category by MBA Skool Team Last Updated: November 19, 2023Reading time:

Here is a detailed SWOT analysis of Southwest Airlines covering strengths, weaknesses, opportunities and threats.

Southwest Airlines Strengths

  1. Southwest is one of the largest airline brands in the world
  2. Southwest airlines is recognized for offering low-cost travel to travelers
  3. The company has its reach to more than 100 destination in the USA
  4. Apart from USA, Southwest has its flights flying to 10 countries
  5. The company has more than 50,000 employees
  6. Due to very streamlined process, the airline operator receives very few complaints as compared to other air carrier
  7. Southwest's business model of low-cost air travel has been a major inspiration to many companies worldwide
  8. As a part of its experience, the aircrafts offer Wi-Fi, entertainment, movies, games, music etc.
  9. The company has a very effective marketing via several channels like TV, print ads, online ads and ecommerce portals

Above are the strengths in the SWOT Analysis of Southwest Airlines. The strengths of Southwest Airlines looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Southwest Airlines Weaknesses

  1. Strong competition from other low cost carriers means limited market share growth
  2. Dependence only on the American market means limited customer share of travelers

These were the weaknesses in the Southwest Airlines SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Southwest Airlines Opportunities

  1. Expansion to other cities with the USA can help boost its business
  2. International flights and global expansion can help increase the revenue for Southwest airlines
  3. Tie-up with international airline companies to offer global air travel at affordable prices

Above we covered the opportunities in Southwest Airlines SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Southwest Airlines Threats

  1. Operating costs can increase and hence air fare will increase
  2.  Increase in fuel prices can lead to loss of margins for Southwest
  3. Changing economic policies, recessions & pandemics can affect the tourism sector, thereby impacting their revenue

The threats in the SWOT Analysis of Southwest Airlines are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Southwest Airlines SWOT analysis.

About Southwest Airlines

The table below gives the brand overview along with its target market, segmentation, positioning & USP

Southwest Airlines Overview
Parent Company

Southwest Airlines Co.

Category

Domestic

Sector

Airlines

Tagline/ Slogan

Love is Still Our Field; Just Plane Smart; THE Low Fare Airline

USP

Largest low cost carrier in United States

Southwest Airlines STP
Segmentation

Price sensitive passengers

Target Market

Middle income people looking for affordable travel

Positioning

Low cost American airlines connecting various destinations


This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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