Product details

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Supplement
-
Reference no. 9-575-135
Subject category: Marketing
Published by: Harvard Business Publishing
Originally published in: 1975
Version: 21 June 1984

Abstract

After 18 months of deficit operations, Southwest Airlines stands on the brink of profitability. Selective application of discount fares has contributed to a rapid growth in market share. Then, in February 1973, its major competitor halves all fares on Southwest's principal route. Management must decide how to respond. Exhibits detail Southwest's cost structure plus passenger and flight statistics for Southwest and competitors.
Location:
Industry:
Size:
Small, USD6 million sales
Other setting(s):
1973

About

Abstract

After 18 months of deficit operations, Southwest Airlines stands on the brink of profitability. Selective application of discount fares has contributed to a rapid growth in market share. Then, in February 1973, its major competitor halves all fares on Southwest's principal route. Management must decide how to respond. Exhibits detail Southwest's cost structure plus passenger and flight statistics for Southwest and competitors.

Settings

Location:
Industry:
Size:
Small, USD6 million sales
Other setting(s):
1973

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