Airline Marketing/Distribution and Route Structure and Hub Strategies

Running head : AVIATION

Southwest Marketing Strategy

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Introduction

With its head office in Dallas Texas , Southwest Airlines commands a significant chunk of the global the air travel market . Precisely , since its inception in 1967 Southwest airlines has matured over the years into the profit making , efficient , and reliable entity it is today . This growth has been happening at the backdrop of a nose diving airline industry characterized by diminishing revenues as well as shrinking national GDPs across the globe

(Bamber et al 2009 . Atypical of many other major global airlines struggling to reestablish their positions in the market while still realizing profits , Southwest has juggled between differentiation and low-cost strategies . This paper intends to carry out a research study on Southwest Airlines with view of eliciting the marketing strategies the company uses and how its hub strategies and route choices has contributed to the overall marketing decisions

Marketing Strategy

Southwest boasts as the only airline to have been realizing profits all along even at a time when other airlines have been experiencing huge losses (Bamber et al 2009 . This is courtesy of its marketing strategy whose central pillar is cost reduction , affordable and high quality services . The company CFO Gary Kelly asserts that keeping a Hawk 's eye on costs is just as much a part of the company 's culture as its silliness (Server , 2004 ,

.2 . To achieve this feat the company pursues `fuel hedging strategy ' to great heights . This...