University of Tennessee, Knoxville TRACE: Tennessee Research and Creative Exchange Supervised Undergraduate Student Research Chancellor’s Honors Program Projects and Creative Work 5-2006 Southwest Airlines Corporation: A Domestic Industry Analysis & Recommendation for Expansion Joel LaSharon Thomas University of Tennessee-Knoxville Follow this and additional works at: https://trace.tennessee.edu/utk_chanhonoproj Part of the Marketing Commons Recommended Citation Thomas, Joel LaSharon, "Southwest Airlines Corporation: A Domestic Industry Analysis & Recommendation for Expansion" (2006). Chancellor’s Honors Program Projects. https://trace.tennessee.edu/utk_chanhonoproj/1019 This is brought to you for free and open access by the Supervised Undergraduate Student Research and Creative Work at TRACE: Tennessee Research and Creative Exchange. It has been accepted for inclusion in Chancellor’s Honors Program Projects by an authorized administrator of TRACE: Tennessee Research and Creative Exchange. For more information, please contact
[email protected]. Southwest Airlines Corporation: A Domestic Industry Analysis & Recommendation for Expansion Joel L. Thomas Chancellor's Honors Program University of Tennessee Senior Project May 2,2006 Joel L. Thomas Senior Honors Project Southwest Airlines May 2, 2006 2 Executive Summary After almost thirty years of service, Southwest Airlines has emerged as one of the world's premier airlines. The Southwest approach to business and the industry at large have enabled the company to continue to grow at profit in times of true economic downturn. Presently, the market for air carriers is saturated and highly fragmented. Overcapacity has led the major United States airlines to compete with Southwest's low fare pricing strategy. However, due to the company's brand image of efficient and effective low fare service, Southwest has been able to ward off its competitors (e.g.