Lecture
This lecture explores Southwest Airlines' business-level strategy, focusing on their pursuit of a cost leadership strategy through unique value drivers like Transfarency, frequent departures, and low prices. It analyzes the risks they face, their human resources management practices, and the key elements of their strategic choices. The session also covers differentiation strategies, value drivers such as product features and customer service, and the implications and risks associated with differentiation. Additionally, it delves into cost leadership, discussing cost drivers, economies of scale, learning curves, and the specific requirements and risks involved. The lecture concludes with a discussion on focus strategy, its types, implications on firm performance, and protection mechanisms against industry forces.