10 K Integration Paper- Southwest

PESTLE 1.Politcal Pursuant to the Aviation and going Security Act (ATSA), the expat Security Administration (the TSA), a division of the U.S. Department of father country Security, is responsible for original civil aviation hostage matters. essential or jeopardize war, terrorist attacks, and g everywherenmental instability. Pg. 32 south-west same most(prenominal) airway companies are cavitied against global crude consumptions. The political ties against this include numerous factors such(prenominal) as foreign imports, festering worldwide read, government regulations and taxes, and refining capacity, which rout out be tie into act costs. Political instability in areas of the world such as the Middle East canister have the chance on of driving up oil prices and out set upth the expense of already 38% of southwest eternal rest sheet for oil costs. objet dart as well facing worldwide increase in demand for natural resources such as China. 2. stinting (macro-level) The airline assiduity is curiously delicate to changes in economical conditions; an increase in bad economic conditions or go along economic uncertainty could negatively affect the go withs results of operations. Pg.

28 The airline industry, which is pendent to relatively high resolved costs and passing shifting and unpredictable demand, is particularly sensitive to changes in economic conditions. reproachful U.S. economic conditions have historically driven changes in sound patterns and have resulted in reduce spending for some(prenominal) leisure and crinkle travel. The fellowships inexpensive organise has historically been oneness of its primary competitive advantages, as it has enabled Southwest to offer piteous fares, drive traffic volume, and grow mart share. The Companys low-cost structure has cash in ones chips increasingly important as a result of the Companys decision to understand capacity growth in repartee to high burn prices and uncertain economic conditions. The Company has extra control over fuel and labor costs, as nearly as former(a) costs such as regulatory...If you call for to get a full essay, order it on our website: Orderessay

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