Catastrophic and heartbreaking are the two words to represent the year of 2001 for many Americans. The 9/11 terrorist attacks caused major emotional, and economic impact around the globe. The American airline industry suffered significant economic and social loss, leaving major airline companies on the verge of bankruptcy. While most airline companies were financially and emotionally suffering, the Southwest airline appeared to be at its most successful and profitable period. Indeed, Southwest’s successful performance during difficult times makes many individuals wonder how the company was able to accomplish what it seemed unachievable by most carriers. To better understand Southwest's achievement, it is important to look at the macro-environmental
…show more content…
The airline sets its self apart from its competitors in a variety of ways, but customer service is a major one of them. For instance, after the 9/11 attacks, Southwest executives made the brave decision to refund all customers who required them without imposing any restrictions. The company’s decision demonstrates how devoted they are to their clients. As well as other airline carriers, Southwest reduced its costs, but by already operating under a traditional cost-saver method, the company minimized some of the macro-environmental factors. The technological environment has also impacted Southwest. In order to follow the new security policies, Southwest adopted an online ticket reservation system, which they quickly adapted themselves to it. Southwest advertising strategy also sets itself apart from its competitors. Following 9/11, airline advertisements were suspended. However, within two weeks, Southwest continued with its humor centered …show more content…
The attacks certainly affected the aircraft industry’s macro environment in terms of economy, technology, social and political factors. According to former Southwest CEO Gary Kelly, the company execution and ability to execute is devoted to detail-oriented and hard-working CEO. In addition, by not laying off its employee after 9/11, the Southwest airline showed to be a business with moral principles. Indeed, the post-9/11 period has added to Southwest’s ability to face any storm that comes its way. By maintaining its consistent management style, low-cost structure and flexibility Southwest will be able to react quickly to any environmental
The airline sets its self apart from its competitors in a variety of ways, but customer service is a major one of them. For instance, after the 9/11 attacks, Southwest executives made the brave decision to refund all customers who required them without imposing any restrictions. The company’s decision demonstrates how devoted they are to their clients. As well as other airline carriers, Southwest reduced its costs, but by already operating under a traditional cost-saver method, the company minimized some of the macro-environmental factors. The technological environment has also impacted Southwest. In order to follow the new security policies, Southwest adopted an online ticket reservation system, which they quickly adapted themselves to it. Southwest advertising strategy also sets itself apart from its competitors. Following 9/11, airline advertisements were suspended. However, within two weeks, Southwest continued with its humor centered …show more content…
The attacks certainly affected the aircraft industry’s macro environment in terms of economy, technology, social and political factors. According to former Southwest CEO Gary Kelly, the company execution and ability to execute is devoted to detail-oriented and hard-working CEO. In addition, by not laying off its employee after 9/11, the Southwest airline showed to be a business with moral principles. Indeed, the post-9/11 period has added to Southwest’s ability to face any storm that comes its way. By maintaining its consistent management style, low-cost structure and flexibility Southwest will be able to react quickly to any environmental