Southwest Airline and 9/11

Paper Summary:

Discusses impact on airline of downturn in travel after 9/11. Reduction of passengers & flights. Steps that need to be taken to maintain profitability. SWOT analysis. The Southwest concept. Recommends building up leisure market & business travel & continuing military fare discounts. Necessity of advertising & marketing. Competitive position.

From the Paper:

"Southwest and the Airline Industry After September 11


While the airline industry had been falling victim to higher fuel prices and lower load factors even before September 11, the grounding of all airlines flying in, to, or from the U.S. for two days and the public's increasing fear of flying has caused billions of dollars in losses, and not merely in the U.S. Swissair, for generations the epitome of "class" among international airlines , stopped flying until it was rescued by a $380 million bailout by Swiss banks- and then only until October 28. Nearly every airline in America cut back its schedules and laid off or furloughed thousands of workers. Until now, the one beacon of continuity was Southwest Airlines, a highly successful short-hop airline- perhaps the most profitable in the U.S. But now, even this airline has had to make some..."

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