Friday, June 21, 2013

The Battle of Airline Business Models: Southwest Is On A Rocky Mountain High

There are three main approaches to running an airline: those of international, full service trunk carriers, low cost, reasonably priced, user friendly carriers, and no frills, charge for every thing carriers. All three business models are competing head to head in the Denver market.  Southwest had long shunned Denver.  But the Wall Street Journal's Middle Seat columnist Scott McCartney tells how Southwest bit the bullet in 2006.  In Denver, it competes directly with the other two business models represented by United and Frontier.

Which business model will out?  Scott McCartney writes the whole airline industry are are follwing the battle of Denver which is a fascinating microcosm of the industry. By one measure, Southwest has moved ahead:

1 comment:

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