The internal processes at Southwest Airlines are highly efficient, giving it a competitive advantage over other airlines. Southwest has a very efficient maintenance process and also has a very simple process of booking passengers. Because of these efficiencies, the company is able to offer customers an appealing mileage-driven pricing structure while also increasing the airline's profit margin. In this scenario, Southwest's competitive advantage is based on ________.
A) price perception
B) cost leadership
C) value ratio
D) service
E) quality

Question

Quizplus · Accepted Answer

Southwest's competitive advantage is based on cost leadership due to its highly efficient internal processes, which allow the company to offer appealing pricing structures while increasing profit margins.

The Internal Processes at Southwest Airlines Are Highly Efficient, Giving