Southwest Airlines Strengths: Southwest Has the Lowest

Southwest Airlines

Strengths:

Southwest has the lowest prices per seat of any other airline. Moreover their pricing structure is simple and relatively transparent to passengers, with few classes of fares and few ticket reservations. They are able to do this due to providing frequent point-to-point service between secondary airports that are on average only 515 miles apart. They offer more direct, non-stop flights than the traditional hub and spoke system, and have quick turn around times (of 25 minutes compared to an hour or more for most major airlines). It ranks high on-time performance, baggage handling, and least customer complaints.

Weaknesses

They do not offer meals, only peanuts and drinks. They have no major frills. Huge competition.

Opportunities

Major airlines have pared down flight schedules, and deferred or cancelled new aircraft deliveries, whilst some have also retired approximately 5% of their older planes. This leaves greater opportunity for low-cost startups such as Southwest.

Threats

Energy prices continue to be unpredictable; there is still airline anxiety (due to threat of terrorism), and complex pricing exacerbated by regulations and restrictions on reservation changes have caused customers to prefer driving or purchasing planes. There is also a weaker than expected economic recovery and stiff competition from successful low-cost airlines such as Jet Blue. Energy prices continue to be unpredictable and political threat has caused prices for security to be intensified in various aspects as well as increased regulation and rules that may make flying more off-putting and complex for consumers.

Intel

Strengths

They have a reputation. They have achieved an atmosphere of production that is more rapid, cheaper, and more reliable that m many of their competitors. Their decision to focus on the microprocessor caused them to become a Fortune 500 global corporation and central to the growth of PCs, cell phones, genomic research, and computer-aided design. They have also been praised for their customer integrity.

Weaknesses

Intel has lost to competitors in businesses and specializations outside the computer market. It failed in regards to its Itanium server chip losing much of its business to Advanced Micro Devices (AMD). AMD is still its leading competitor producing faster, less costlier chips than Intel does, which also generate less heat and less power.

Threats

It is losing to competitors (particularly AMD) and constantly embattled by new ones. Some of the larger PC makers such as Dell have replaced them for AMD. With their new shift in strategy, particularly with focus on marketing as opposed to engineering, many engineers and design specialists have left Intel for jobs in competing companies.

Opportunities

They have recently introduced a set of revamped chips called Core 2 that use less energy while offering better performance. PC growth is slowing, whilst cellular and handheld devices have become the primary sport. Intel now seeks to target these growing fields with new chip 'platforms' (i.e. many types of chips as well as software).

Heinz Company

Strengths

Heinz has built up a solid reputation, a global presence, and a large line of products primarily meal enhancers and meals and snacks. They also own several best selling U.S. brands such as WeightWatchers and BagelBites and demonstrate strength in the frozen food sector and have strong appeal to foreign countries.

Weaknesses

They have huge debts twice the industry average. Gaining a large percentage of its profits form food service operations such as restaurants, airports etc. Heinz suffers from politically uncertain times and from economic recession. They have a huge array of competitors, and possess products that have trans fat ingredients.

Threats

New dietary guidelines, which caution consumption of trans fats. Competition from other brand-name ketchups, private label-ketchups and salsa as well as niche players and the emergence of superstores and wholesale clubs. Increased popularity of ethnic products such as salsa and other condiments also may threaten Heinz's market share. Cost pressures and erosion amongst American consumers of brand loyalty.

Opportunities

US fast food chains growing in popularity, which aids growth in meal accompaniments such as single-serving packet and bulk ketchups and salsa. Today's increasingly hectic lifestyle with demand for fast food bodes well for their snacks, instant food, and frozen food market. Economic recovery and expected strong growth in global food service demand over the next five years. The westernization of eating habits together with rising incomes in developing countries and the appeal of American brand names abroad.

Air Tran Airways

Strengths

Has reputation for cutting costs (affordability) second only to Southwest. Increases and serves underserved markets or those not served at all and increased frequencies in long-haul more profitable markets. Attracts price-sensitive business professionals and leisure-seeking students due to their innovative frequent flyer programs. Has a loyal following amongst corporate and community services which serve as a cushion against the early losses of expanding into a new city and invariable backlash from larger competitors