This is purely my personal opinion as I look into swiss, and would not like to see my post as being of offence to anyone, however ...
In my opinion, I think that swiss should take a look over to Air Canada in North America.
Air Canada, was being swamped by competition from new no-frills, and regional airline start-ups and decided to launch off-shoot carriers from the main brand so that the mainline carrier was not trying to be all things to all people, but had an off-shoot to compete in areas AC couldnt.
For example:
it merged its regional carriers into one, jazz by Air Canada to compete on thin regional routes.
it launched a no-frills brand, tango, that was simply respraying and re-configuring its aircraft to compete on the East Coast, but launched a dedicated low-fares-airline, zip, to compete on the West Coast (it launched two carriers due to certain restrictions)