Link:
http://prospect.org/article/confessions-airline-deregulator
^^^Anyone interested better read this quick. Bubba has some swa media dude on speed dial that's scrubbing the Internet of anything swa negative
Last paragraph is of most importance to you Bubba:
"Southwest's success, however, owes much to its conservative financial strategy and some very unique factors. Southwest has a low-fare and generally nondiscriminatory pricing policy. It prefers to enter major markets only where there is unfettered, uncongested airport capacity to facilitate high-frequency service. These policies, in combination, give Southwest instant market share and tend to ward off predatory selective price cutting by the major carriers. If a larger carrier decides to price-compete with Southwest, it must be prepared to reduce fares for most or all passengers, not just on a few flights. Furthermore, Southwest chooses only relatively short-haul markets, averaging under 500 miles. Such flights are not readily susceptible to competition over hubs because passengers flying relatively short distances are unwilling to make connections. Finally, Southwest itself totally dominates at least one important airport, Dallas's close-in Love Field, from which long-haul flights are prohibited by legislation. This base gives it stability and some protection against the onslaught that has felled other new entrants. Yet, even Southwest knows that it would be suicide to enter traditional international or long-haul markets and take on big carriers on their own terms."
http://prospect.org/article/confessions-airline-deregulator
^^^Anyone interested better read this quick. Bubba has some swa media dude on speed dial that's scrubbing the Internet of anything swa negative
Last paragraph is of most importance to you Bubba:
"Southwest's success, however, owes much to its conservative financial strategy and some very unique factors. Southwest has a low-fare and generally nondiscriminatory pricing policy. It prefers to enter major markets only where there is unfettered, uncongested airport capacity to facilitate high-frequency service. These policies, in combination, give Southwest instant market share and tend to ward off predatory selective price cutting by the major carriers. If a larger carrier decides to price-compete with Southwest, it must be prepared to reduce fares for most or all passengers, not just on a few flights. Furthermore, Southwest chooses only relatively short-haul markets, averaging under 500 miles. Such flights are not readily susceptible to competition over hubs because passengers flying relatively short distances are unwilling to make connections. Finally, Southwest itself totally dominates at least one important airport, Dallas's close-in Love Field, from which long-haul flights are prohibited by legislation. This base gives it stability and some protection against the onslaught that has felled other new entrants. Yet, even Southwest knows that it would be suicide to enter traditional international or long-haul markets and take on big carriers on their own terms."
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