Buy custom Southwest Airlines: A strategy perspective
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Topic: |
Business
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Number of pages / Number of words: |
12 / 3330 |
Essay's paper body
Some other ways that Southwest is able to keep their operational costs low is - flying point-to-point routes, choosing secondary (smaller) airports, carrying consistent aircrafts, maintaining high aircraft utilization, encouraging e-ticketing etc.
Labor Costs
The labor costs for Southwest typically accounts for about 37% of its operating costs...
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Perhaps the most critical element of the successful low-fare airline business model is achieving significantly higher labor productivity. According to a recent HBS Case Study, southwest airlines is the âmost heavily unionizedâ US airline (about 81% of its employees belong to an union) and its salary rates are considered to be at or above average compared to the US airline industry...
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General points of the essay
An Assessment of Southwest Airlines
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