Sw vs Delta

Southwest vs. Delta Comparison

Southwest vs. Delta Comparison

The first airline to begin transportation of customers was DELAG (Aeutsche Luftschiffahrts-Aktiegesellschaft) founded in November 1909 with the assistance from the government. Through the creation of airlines U.S Airlines and Delta airlines emerged as the leaders of the industry and innovators of the industry. Southwest introduces itself to the market in 1967 to provide an airline that has on time flights and lower fares than any other airline, with this theory the company would have no problem attracting customers.

Fast forward to 2012, when the economy is in the worst state it’s ever southwest would seem to be a customer favorite for the low prices and bags fly free operation. The following with provide a back ground of both Southwest Airline and Delta Airlines accompanied by a comparison of both business models.

Southwest Airlines

Herb Kelleher and Rollin King started southwest airlines over 38 years ago ("Southwest Airlines,” 2012). Kelleher and King’s vision was to create an airline that was different from their competition. Their plan was that if their airline could get individuals to their destinations on time and at the lowest fares, Southwest could offer, they would have no problem attracting customers. On March 15, 1967, Air Southwest Company was officially incorporated. With $500,000, Kelleher files the application with the Texas Aeronautics Commission (TAC) with three Boeing 737 aircrafts (Southwest currently has 550 Boeing 737 aircrafts) to service airports in Dallas, San Antonio, and Houston ("Southwest Airlines,” 2012). After dealing some court cases with Texas Supreme Court, they were finally awarded their certificate. In March 1971, Air Southwest officially changes their name to Southwest Airlines Company. On June 8th of the same year, they offer 650,000 shares of stock in their Initial Public Offering at $11 per share ("Southwest Airlines,” 2012). At...