Homework Question on The Airlines Industry: Product Analysis
- For this discussion, post your replies to the following questions:
- Pick an airline, domestic or international, and discuss what you feel is their competitive advantage. Do they promote only one or more than one? Do not duplicate your classmates answers.
- Discuss which airlines, domestic or international, works towards the highest standards of ensuring that personal service is delivered to its customers. Why do you feel this way?
Homework Answer on The Airlines Industry: Product Analysis
Airline industry is very competitive and often faces challenges as a result of changing environmental dynamics. Staying in the industry requires critical analysis of the market in order to understand market needs and changing market trends (Welch et al 2007). It involves what market orientation is chosen by the management and the preferable market segment. The best orientation is growth that requires better products to increase the performance of the firm through achieving a competitive advantage over other companies.
Southwest airlines a domestic airline, provides air services across many destinations in U.S. The airline enjoys competitive advantage over other airlines through meeting the needs of physically challenged persons. Given increasing number of disabled persons in the U.S population and continued growth of hospitably and tourism industry, the airline has developed strategies to exploit the existing opportunities in these markets by providing convenient facilities to its customers. This leads to customer’s loyalty and therefore improves a company’s market base.
The airline apart from enjoying competitive advantage in the mostly unexploited and expanding market of meeting needs of persons with disability is also more competitive in terms of travel. It delivers relatively fast return trip. Other competing airlines take long hours of travel from one destination to another. The image of this airline is undisputedly good in the eyes of the public and the employees (Welch et al 2007). It is often referred to as LUV Triangle given its strategic use of the term in its operational names and services.