The Application of Hedging in Enterprise Risk Management: The Case Study of Southwest Airlines

In today's project of globalization and increasing market uncertainty, enterprise risk management has become one of the key factors for the survival and development of enterprises. As an important risk management tool, hedging is widely used in corporate practice. This article takes Southwest Airlines as an example to explore the application of hedging in enterprise risk management. Through a case study of Southwest Airlines, we aim to uncover how hedging can help companies reduce risk, stabilize operations, and improve profitability. At the same time, this paper also hopes to provide useful inspiration and reference for enterprise risk management.