By using significant standardization in the use of aircrafts and by streamlining its operations,Southwest Airlines competes by offering its' flights at a lower price than the competition.According to Michael Porter,the strategy that Southwest Airlines is using is
A)low- cost.
B)differentiation.
C)value transfer.
D)efficiency frontier.
E)diversification.

Question

Quizplus · Accepted Answer

Southwest Airlines is using a low-cost strategy by standardizing its aircraft and streamlining its operations to offer flights at a lower price than the competition. Michael Porter's generic strategies include low-cost, differentiation, and focus, and it is clear from the given information that Southwest's strategy is focused on offering lower prices to customers. Therefore, the best choice is A- low-cost.

By Using Significant Standardization in the Use of Aircrafts and by Streamlining