MGT 499 SOUTHWEST AIRLINE EXAM
2025 QUESTIONS AND ANSWERS
Which of the following would be considered a distinctive competency for Southwest Airlines? -
ANS Southwest is able to maintain a lower cost structure.
One of Southwest Airlines' many resources is employees, who are rewarded through a profit-
sharing plan that includes Southwest stock. This profit-sharing plan as an incentive to
employees is considered which type of resource? - ANS Organizational architecture
Part of Southwest Airlines' uniqueness is in its workforce's willingness to do other jobs in
addition to the position they were hired for. This organizational culture provides great value to
the company and is classified as what type of activity? - ANS Support activity
Although Southwest Airlines' fares cost less than many other airlines' fares, which of the
following equations [with V = value (utility) to consumer, P = price, and C = cost of production]
best represents why Southwest's profitability is higher? - ANS Southwest's P - C > Other
airlines' P - C
Based on the VRIO framework, which element is most represented by Southwest Airlines'
practice of flying only Boeing 737s? - ANS Value
Based on the VRIO framework, which element is most represented by Southwest Airlines'
1
practice of devoting enormous attention to its staff - ANS Organization
Page
@COPYRIGHT SIRJOEL 2025/2026
2025 QUESTIONS AND ANSWERS
Which of the following would be considered a distinctive competency for Southwest Airlines? -
ANS Southwest is able to maintain a lower cost structure.
One of Southwest Airlines' many resources is employees, who are rewarded through a profit-
sharing plan that includes Southwest stock. This profit-sharing plan as an incentive to
employees is considered which type of resource? - ANS Organizational architecture
Part of Southwest Airlines' uniqueness is in its workforce's willingness to do other jobs in
addition to the position they were hired for. This organizational culture provides great value to
the company and is classified as what type of activity? - ANS Support activity
Although Southwest Airlines' fares cost less than many other airlines' fares, which of the
following equations [with V = value (utility) to consumer, P = price, and C = cost of production]
best represents why Southwest's profitability is higher? - ANS Southwest's P - C > Other
airlines' P - C
Based on the VRIO framework, which element is most represented by Southwest Airlines'
practice of flying only Boeing 737s? - ANS Value
Based on the VRIO framework, which element is most represented by Southwest Airlines'
1
practice of devoting enormous attention to its staff - ANS Organization
Page
@COPYRIGHT SIRJOEL 2025/2026
