While other airlines were flying their widebodies over the same routes to Los Angeles, New York, and Europe, Southwest found a niche: the short hop. It called itself “the only high-frequency, short-distance, low-fare airline.” As the others killed themselves off, Southwest grew from a four-plane operation in 1978 to the eighth-largest carrier in the country. It was the only U.S. airline to have made money every year since 1973. For return on capital, Southwest has yet to be outdone.
