Case Analysis Of Boeing

Submitted By flyingco
Words: 364
Pages: 2
Open Document
While Airbus’ A380 had been under the spotlight in the superjumbo market despite the uncertainty of who would have the last laugh – A380 or 747, Boeing was determined to grasp the mid-size wide-body market by introducing the 787 Dreamliner aircraft.
With new technologies and designs, the 787 could considerably reduce operation and maintenance cost and meanwhile, enhance fuel efficiency, greenness in carbon emissions, airlines’ revenue from cargo and passenger comfort. Considering these superior characteristics, the 787 Dreamliner would be able to address the threats to profitability from rivals, entrants, substitutes and buyers. As the only other manufacturer for wide-body aircraft, Airbus had no equivalent aircraft to compete with the 787. To other competitors such as Bombardier and Embraer, it was hard for them to enter the market in a short period of time because of the huge expenditures in development and manufacturing as well as Boeing’s reputation in aviation industry. Besides, seldom any product could totally substitute the aircraft, especially the one for long-haul routes. Therefore, based on the reasons mentioned plus the expected growing demand in the next 20 years for mid-size wide-body aircraft globally, buyer power would not be strong enough to bargain for a lower price.
However, the significant changes Boeing made to its supply chain in the 787’s production ruined the ideal plan. With over 60 percent of the production outsourced, Boeing relied heavily on more
Show More

Related Documents: Case Analysis Of Boeing

Essay about How the Macroeconomic Environment of the Airline Industry Affects the Strategic Decision of Boing vs Airbus

Christian Uwagwuna How the Macroeconomic Environment of the Airline Industry Affects the Strategic Decision of Boing Vs Airbus A Case Study Document Nr. V170506 http://www.grin.com/ ISBN 978-3-640-89394-2 9 783640 893942 ‘Case Study – How the Macroeconomic Environment of the Airlines Industry Affects the Strategic Decision of Boeing Vs Airbus’ By Christian Uwagwuna Course: Strategic Management 27 January 2011 Executive Summary This paper discusses the external economic…

Words 8448 - Pages 34

Boeing Company Analysis Essay

Boeing [pic] Presented by: Urvishkumar Patel Amitkumar Patel Bhavikkumar Patel Manojkumar Patel Vishal Patel Jonathan Mayes MG - 640 Management Policy Dr. Santanu Borah July 27, 2008 TABLE OF CONTENTS INTRODUCTION 5 Company Overview 5 Boeing Commercial Airplanes 5 Boeing Integrated Defense Systems 6 Boeing Capital Corporation 6 Background 7 Sales/Operations 9 Constituent Contributions to Corporate Portfolio and Revenue 12 Market Share, Revenues…

Words 15965 - Pages 64