SPACE MATRIX for Southwest Airline

The Space matrix is a management tool used to analyze a company. It is used to determine what type of a strategy a company should undertake. SPACE matrix tells us that our company should pursue an aggressive strategy. Our company has a strong competitive position it the market with rapid growth. It needs to use its internal strengths to develop a market penetration and market development strategy. This can include product development, integration with other companies, acquisition of competitors, and so on.

Competitive Advantage:- 2.50 Industry Strength: 4.50

GRAND STRATEGY MATRIX:

The southwest Airline has Strong Competitive Position and is working in Rapid Growth Market thus it lies in Quadrant 1 and should focus toward Market Penetration, Market development related diversification.

Rapid Market Growth

Quadrant II Quadrant I

Strong Competitive

Position

Slow Market Growth

Weak Competitive

Position

Quadrant III Quadrant IV

Market Development

Market Penetration

Product Development

Forward, Backward and Horizontal Integration

Related Diversification