Encore: Southwest vs American Airlines | Free LUV | 6

Business Wars

Wondery

History, Business, David Brown, Management

4.6 • 13.2K Ratings

🗓️ 12 July 2021

⏱️ 28 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Thanks to deregulation, no-frills knock offs of Southwest take to the skies like crows. About 120 airlines have gone out of business or filed for bankruptcy since the industry was deregulated in 1978.

American’s SABRE system optimizes...everything. It manages ticket pricing so flights are always full, and American is building new hubs and terminals. Meanwhile, Southwest company culture is shifting from sex appeal to backyard barbecue vibe. Is it enough to attract families to fly?

Listen to new episodes 1 week early and to all episodes ad free with Wondery+. Join Wondery+ for exclusives, binges, early access, and ad free listening. Available in the Wondery App https://wondery.app.link/businesswars.

Support us by supporting our sponsors!

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Transcript

Click on a timestamp to play from that location

0:00.0	Hey, Prime members, you can listen to Business Wars Add Free on Amazon Music.
0:04.6	Download the app today.
0:07.0	A listener note, this episode originally aired in 2018.
0:16.8	It's Fall 1985.
0:22.4	Thanks to deregulation, no frills knockoffs of Southwest take to the skies like crows.
0:28.9	New carriers start service from coast to coast, but some have trouble staying aloft.
0:35.0	About 120 airlines have gone out of business or filed for bankruptcy since the industry
0:39.7	was deregulated in 1978.
0:43.2	Among those successfully rising above the flock is people express.
0:48.0	It's buying plain cheap like secondhand clothes from bankrupt competitors like Granith.
0:53.9	It's an airline where mostly young employees own stock, share jobs, and manage themselves.
1:00.1	If Southwest is the aweshocks airline, people express seems like an airline run by new
1:05.8	age hippies.
1:07.8	The adult at the helm of the youthful airline is Donald Burr, a Harvard educated preppy.
1:14.9	And as no frills airline makes Southwest look posh by comparison.
1:20.1	buyers pay for luggage, even coffee, 50 cents a cup, they pay for their dirt cheap tickets
1:25.7	in flight.
1:27.5	The low cost airline becomes the greyhound bus of the sky.
1:31.4	In fact its tickets are cheaper than bus fares.
1:34.7	Flights are packed.
1:36.5	But the CEO of People Express is about to get a wake up call from an unexpected source.
1:42.6	Hi mom, what's up?
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from Wondery, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of Wondery and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.