INTRODUCTION This case discusses the history of Boeing and salient forces affecting the global aircraft industry‚ along with the key strategic issues driving Boeing’s competitive strategies. Boeing and Airbus dominate the global aircraft industry‚ but have very different visions of the future of commercial air travel. Consequently‚ the strategies they have devised to manage the competitive environment are disparate. The case provides a unique opportunity to explore these differences‚ how
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Marketing Plan – Protective Carbon Coating I. Executive Summary Two enduring concerns for airline operators include the management of weight and the possibility of wiring malfunctions on airplanes. As a result‚ aircraft manufacturers are constantly seeking ways to address this problem for their customers. Wire manufacturers‚ in turn‚ are faced with constant commoditization of wire products and are seeking legitimate ways to differentiate themselves from their competition as they sell to
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Anon (2010)‚ The Industry Handbook: The Airline Industry‚ Investopedia ULC‚ [Online] available on http://www.investopedia.com/features/industryhandbook/airline.asp accessed 22 January 2011 Aboulafia R (2002)‚ “Airbus and Boeing Race to the Bottom‚” Aerospace America Industry‚ pp.20-22. Airbus (2006) Environmental Policy Towards Eco- Efficiency‚ [Online] available on http://www.airbus.com/presscentre/pressreleases/press-release-detail/detail/airbus-produces-itsfirst-environment-social-and-economic-re
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Managing for Change 11/10/14 Midterm Exam : Case Study about Boeing. Questions: 1. I think that there are two diagnostic models that provide a framework that succinctly identifies the key factors at the center of the Boeing situation : the 7-S framework model and the Six-Box organizational model . Based on these two models‚ we can more easily assess the internal situation of a company. First of all the 7-S model is based on seven major elements such as: Strategy‚ Structure‚ Systems‚ Style‚ Staff
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Solutions (AS) Security Overview Introduction Aircraft Solutions is a well respected equipment and component fabrication company who provides a full spectrum design and implementation solutions to several industries which includes; electronics‚ aerospace‚ commercial and the defense sectors. Aircraft Solutions employs a range of highly qualified professionals and houses an immense production plant‚ with an overall goal of providing high-quality solutions to accommodate specifications from a wide range
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The Boeing Company is a major player in the aerospace and defense industry with over 150‚000 employees. As of 2006 they led the commercial and defense aircraft market as the company with the largest total revenue. (Defense News ‚ 2007). The corporation is divided into five separate business units/services. Commercial Airplanes and Integrated Defense Systems are the two major components. The other three units span control over research and development‚ services and financial services; Phantom Works
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Airbus’s New Support Strategy Values Customer Service Airbus is building a new support strategy where customers pay for a significant portion of purchased services with data collected during operations. In a press briefing last December at the aircraft manufacturer’s headquarters in Toulouse‚ France‚ executives from Airbus’s customer services team explained that rather than becoming a standalone business unit‚ integrated customer support can help make Airbus airplanes more attractive. In addition
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Committing large chunks of a company’s resources to a single investment project is always a risky undertaking. It becomes even riskier when a competitor is set to do the same thing and the market is unlikely to sustain two rival products . This may appear to be the ration-ale behind the Boeing Company’s much-publicized cancellation of the development of its "superjumbo‚" a whole new class of aircraft with room for 500 to 1‚000 passengers. "The market isn’t ready yet‚" announced John Hayhurst
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In early 2003‚ Boeing released plans to build a new “super efficient” jet called the 7E7. The jet subsequently gained the nickname the “Dreamliner.” In the six months following the announcement news depressed the market for aircraft‚ which was already shrinking. This news included the United States going to war with Iraq‚ global terrorist attacks‚ and SARS putting travelers in fear. This all contributed to the worst airline profits in a generation. From Boeing’s perspective this meant for a
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Another force is power of suppliers. Power of the suppliers is important as it will affect the industry. In airline industry‚ the power of suppliers is quite high since there are only two major suppliers which are Airbus and Boeing hence there are not many choices to airline industry. Nevertheless‚ the global economic crisis has limited the new entrant and also reducing the upgrade of planes in the immediate future. However‚ both suppliers provide almost same standard aircraft and hence the switching
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