value chain analysis

Southwest and American Airlines

Customer Inserts His /her Name

Customer Inserts Tutor 's Name

Customer Inserts Grade Course

Writer Inserts Date Here (29 , 10 , and 2008

Introduction

A value chain describes the activities that take place in a business and then add value to the operations of the business in to gain competitive edge over the competitor . There are two types of activities that are analyzed under the value chain analysis , first are Primary activities and the second one is Support activities . For this we will only focus our

concern towards the inbound logistics and procurement that comprise of all the activities concerned with the storing and receiving of all materials that our outsourced from external resources (Madsen , 2007 . This report will include two companies separately that are Southwest Airlines and American airlines

Starting with Southwest airlines , the inbound logistics involve acquisition of aircraft , flight scheduling , crew scheduling , route selection and flight regulation systems . In the question of aircraft we have seen that south west airlines was the launch airline to acquire all standardized airplanes which are one of the most fuel efficient aircrafts up t date . Moreover due to standardization , the company has cut down it 's maintain ace cost to a great extent . As far as the route selection is concerned , the airline focuses on frequent and short flights between secondary airports and mid-city airports in large cities . There is no such thing as hub and spoke system in south western airlines rather , there is a...