# Remembering Herb Kelleher

- Show: [How I Built This](https://hardwarepodcasts.com/podcast/how-i-built-this)
- Published: 2019-01-04
- Length: 31m
- Page: https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher

## Summary

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.

## Chapters

- [0:00](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=0) Introduction and Early Skepticism
- [4:33](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=273) The Legal Battle and Launch
- [14:04](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=844) Low Fares and Operational Efficiency
- [18:56](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=1136) Deregulation and National Expansion
- [23:26](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=1406) Financial Discipline and Leadership
- [29:51](https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher#t=1791) Avoiding Complacency and Legacy

## Topics

- [Starting a product company](https://hardwarepodcasts.com/topic/starting-a-company)
- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [Scaling production](https://hardwarepodcasts.com/topic/scaling-production)
- [Leadership, teams & culture](https://hardwarepodcasts.com/topic/leadership-and-culture)
- [Policy, trade & tariffs](https://hardwarepodcasts.com/topic/policy-trade-and-tariffs)

## Most relevant to

early-stage companies, companies scaling up

## Mentioned

- Southwest Airlines (company)
- Braniff (company)
- Continental (company)
- Texas International (company)
- Muse Air (company)
- Pacific Southwest Airlines (company)
- Civil Aeronautics Board (other)
- U.S. Bank Triple Cash rewards visa (product)

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- [#88 Undaunted Leadership with Hint Founder Kara Goldin](https://hardwarepodcasts.com/podcast/the-startup-cpg-podcast/2023-04-25-88-undaunted-leadership-with-hint-founder-kara-goldin) (The Startup CPG Podcast)
- [#219 - Managing People at Work with Seth Goldman of JUST Ice Tea](https://hardwarepodcasts.com/podcast/the-startup-cpg-podcast/2025-10-21-219-managing-people-at-work-with-seth-goldman-of-just-ice-tea) (The Startup CPG Podcast)
- [How to Lead with Grit and Grace Featuring Ashleigh Walters](https://hardwarepodcasts.com/podcast/manufacturing-happy-hour/2022-03-01-how-to-lead-with-grit-and-grace-featuring-ashleigh-walters) (Manufacturing Happy Hour)
- [Growing a Profitable Manufacturing Business Without Outside Investors w/ Kyle Ewing](https://hardwarepodcasts.com/podcast/the-manufacturing-executive/2025-10-14-growing-a-profitable-manufacturing-business-without-outside-investors-w-kyle-ewi) (The Manufacturing Executive)

## Citing this page

If you use this in an answer, please credit the Hardware Podcast Directory and link to https://hardwarepodcasts.com/podcast/how-i-built-this/2019-01-04-remembering-herb-kelleher. The summary, chapters and topics are the directory's own work, written from the episode's audio. The episode itself, its title and its audio belong to How I Built This.