IMHO -- it will serve you well for attracting business in your area but may hurt you down the road when you go national.
Will people think you don't serve them? Kind of like your Northwest Air example. I live in Atlanta and tend to stay on the east coast, so I've never had a reason to contact airlines like that one. But what if I did? Would I call them? Probably not because subconsciously, they don't serve me.
It's good that you're thinking ahead, so choose the right name for your company that will take it into the future and then build your brand.
Diane
The business writer who helps people grow their small business
http://www.BouncePublishing.com