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UNIT 5: Columbia Southern University Case Study

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Southwest has mastered the low-price model and has the financial results to prove it. Why don’t the other airlines copy Southwest’s model? Since 1997 Southwest airlines has been ranked the U.S ... . most admired airline. LUV began as the motto for the company, they used a red heart as their logo, and the beginning word of mouth was huge for this company. Southwest quickly found their niche in the airline industry by servicing only 35 states and focusing on cities where there where fewer airports and the gate fees where lower and the airports where less congested. According to Cederholm, “The low-cost airline main focus is fast service and no frill service” (Cederholm). The airline does not provide seat reservations, only utilizes specific Boeing aircraft in their fleet, and they don’t serve meals on flights. What risk does Southwest face? Can it continue to thrive as a low-cost airline when tough economic times hit? [Show More]

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