Remembering Herb Kelleher

How I Built This · 4 Jan 2019 · 31m

What this episode covers

Herb Kelleher, co-founder and former CEO of Southwest Airlines, recounts the company's origins in 1967, detailing the 4.5-year legal battle against incumbent carriers like Braniff and Continental that delayed their launch. He explains how Southwest achieved low fares through high productivity, such as 10-minute gate turns and a single aircraft type, while maintaining profitability through conservative fiscal policies and employee profit-sharing. Kelleher also discusses the strategic decision to focus on profitability over market share and the cultural importance of avoiding complacency as the airline expanded nationally after deregulation.

Mentioned

Companies
Southwest Airlines, Braniff, Continental, Texas International, Muse Air, Pacific Southwest Airlines
Products
U.S. Bank Triple Cash rewards visa
Also
Civil Aeronautics Board

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