The new Boeing 787 is the first all new jetliner built by the company in many years. As with any new product there have been great leaps in technology. I will discuss these advances, potential costumers, sales, competition and much more.
There are three planed variants currently under development, the 787-3, 787-8 and the 787-9. Each has different range, size and passenger capability. The 787-3 will carry 290-330 passengers approximately 2500-3000 NMI (nautical miles), the 787-8 is set to carry 224 with a maximum of 375 approximately 7600-8200 NMI and lastly the 787-9 will carry 250-290 passengers approximately 8000-8500 NMI. With these various passenger and distance ranges the 787 is likely to replace the Boeing 767 and to some degree the Boeing 757. As far as competitors, the Airbus A350 series is the most likely one. A talked about 787-10 would likely be a larger aircraft and would compete with the Airbus A330 and A340 aircraft.
The market for this aircraft is very large and diversified. The three different variants will serve on a range of routes. The 787-3 is likely to fly on regional routes such as New York to Denver and Asian routes that would be flown with higher density seating capacity. The big advantage to this model aircraft is the lighter MTOW (Maximum Take Off Weight). Airports charge landing fees based on MTOW and the lighter aircraft means less money to operate. The other two variants the 787-8 and -9 models have higher MTOW but also have much longer range. The -8 model can go from New York to Paris and the -9 model would likely be on routes even longer like Moscow to São Paulo. With all these models the 787 will capture a large part of both the domestic and international markets in the United States as w...
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...er 2010 is not the original date of delivery there have been a lot of delays in the development of this all new aircraft.
The delivery was originally scheduled for late 2008 to ANA. However a series of delays have caused this time frame to be put off with the deliveries to occur in late 2010 now. These delays included problems with the wing fuselage joint as well as large problems with their supply chain. This issue prompted Boeing to buy several suppliers to help solve these problems.
I feel the 787 is going to change the world of air travel. As an airline pilot, I feel the improvements over older aircraft are significant. The 787 looks and sounds like an aircraft I hope to fly some day and would love to ride on at the very least. This is going to be a game changer for all the manufactures. I can’t wait to see what Airbus has to combat the wonderful 787.
Boeing is a very interesting company. Boeing may only be one company but they compete in two different markets: commercial airlines and the defense industry. The main competition in the commercial airline market is Airbus. Airbus and Boeing seem to have the commercial airline industry in a chokehold basically having no other competitors. Since the industry has high barriers to entry they will not see much competition anytime soon. Boeing is the American leader in commercial airplanes and Airbus is the European leader, which means they are constantly battling. Their competing aircrafts are the Airbus A380 and the Boeing 747. Both companies have many variations of their respected aircraft and according to Business Insider, Airbus’ A380 outranks
Despite the uncertainty and inherent risks, however, even if WACC exceeds IRR, the board may be well advised to accept the project. It's expected that in the first few years, Boeing will incur more expenses that income. The revenues will come at a later date when the 7E7 planes are delivered. The project will have to be evaluated periodically and management will have to make changes to ensure that the company is profitable based on current and future conditions. The board's prerogative is not to give Airbus a profit sanctuary' by not accepting the project but rather to maintain or increase its market in the industry even if it's not profitable in the shot-run. Boeing has deep pockets' and should be willing to challenge its competitors.
Airlines all around the world have to look into different types of aircrafts that best fit their needs for their passengers and the distance between destinations. Boeing and Airbus, two of the world’s biggest commercial airplane manufactures in the world have been competing to get airlines attention on when they are looking to expand their airplane fleet. This competition has been characterized as a duopoly in the large airliner market since the early nineties has when a series of mergers in the aerospace manufacture industry merged or ceased operation. Today we have to look at both competitors to see who has best airplanes in the jet airliner market. Both Airbus and Boeing have a wide product spectrum ranging between wide and narrow body aircrafts covering many combinations of capacity and range. These two companies compete head to head with similar airplanes and styles. With the upcoming generation of young pilots coming into the aviation industry, the market needs high tech airplanes for airlines to buy to help this new generation move in to place. When airlines are looking at new planes to buy, they need to look at all the different types of planes that covers range and capacity. Airlines have to make a decision on what best fits their needs when deciding between a Boeing aircraft and an Airbus aircraft.
The Boeing Corporation is one of the largest manufacturers in the world. Rivaled only by European giant Airbus in the aerospace industry, Boeing is a leader in research, design and manufacture of commercial jet airliners, for commercial, industrial and military customers. Despite enjoying immense success in its market and dominating an industry that solely recognizes engineering excellence, it is crucial for Boeing to ensure continued growth through consistent strategy formulation and execution to avoid falling behind in market share to close and coming rivals.
"It was the jet Boeing didn't build that averted what could have become one of the worst crash landings in the company's 91-year history--and cleared Boeing to conquer the skies again."(Masters, 2007). Boeing's Management team's work hard to plan what project's will be best for customers, lead to the largest returns to shareholders, and keep a reputation of being a world leader in the aviation industry. "In October 2002, executives of the aircraft manufacturer met with a group of global airline representatives at a conference center on the Seattle waterfront. The executives were trying desperately to figure out what to build next to hold off a soaring Airbus."(Masters, 2007) Boeing had made plans to build a high speed jetliner prior to this meeting. Through careful planning and expert decision making Boeing officials found that the world was more interested in comfort and efficiency. Boeing's high speed aircraft would have been a huge economic let down because of the huge price tag and expensive operating costs. After that meeting Boeing changed plans to make the Dreamliner which is a more cost effective and comfortable aircraft that has enough orders to keep Boeing busy building the aircraft for customers until the year 2015. While Boeing has spent many resources planning what to build, Boeing is now faced with the problems of how to meet customer demands of the new aircraft.
United Airlines aircraft have soared through the skies for more than 70 years. Initially used to transport U.S. mail, the planes soon took on a few adventurous passengers. In a matter of years, air travel was embraced by the general public, creating a demand for larger, faster, more luxurious aircraft.
Boeing 787 Dreamliner was first announced to the public in January 2003 with approximated costs of five billion dollars , since the sales of the aircraft were high it was supposed to enter commercial service during 2008 but the building up of aircraft seemed more anticipated than expected , since the management decided to use composite materials as an alternative for traditional metals as composite materials are lighter , stronger , cheaper and also resistance to wild variety of chemical agents including acid rain and salt spray as these are the conditions under which metals suffer , Boeing also shared their views in development of air craft with suppliers which effected in a project significantly more anticipated than expected . More than three years later after the project exceeded the estimated budget at last 787 entered commercial service in September 2011.
The Boeing 737 is one of the most popular aircraft ever produced. Over 7700 in all variants have been produced, with an additional 11,275 aircraft on order. This makes the 737 the most popular jetliner to date. The 737 has a wide variety of uses, and still remains extremely popular and under high demand. Because it is such a widely mass produced aircraft, it is also a target for constant aerodynamic improvements. Boeing has looked at everything from the design of the anti-collision lights, to the reduction of small gaps in the airfoil. This has created an aircraft that is extremely aerodynamic and efficient at any task it performs.
Technology Innovation: - Boeing should carefully analyze the market to evaluate the trends in the airline industry and aggressively invest in a new product line (top dog strategy) that could counter Airbus’s A380.
The new entry is likely from rich Gulf nations, China, and India of low budget planes around the globe. The airlines from the Gulf nations have placed orders with Airbus and Boeing that are valued in the billions. The deliveries are expected in the next decade. The demand will grow in the production of advanced narrow-body airplanes, such as Airbus, A321 and Boeing, B737 Max. The growth that is expected in the next decade, more consumers will be flying to their destinations. The airlines in the United States are expected to have a profit margin over the next decade. Resulting, from economic growth, and the demand for aircraft service. Buyers are expected to have a lot of power in the next decade, resulting in bargain prices for buyers. The competition will increase with intense rivalry in the aviation industry. The contracts for the aircrafts are totally from airplane
Although Boeing’s top management considered this company as a top global brand, critics believed this company did not make adequate changes in regard to its growth, in other words, did not adapt itself to 21st century. Public was thinking of Boeing as a traditional company which does not promote its public image as other similar corporation does. Business Week’s survey suggested that Boeing received no rank among top best 100 companies by public in year 2000. In order to catch up with global growth, Boeing started its branding campaign a bit too expansive and no body predicted such a disaster on septer11, 2001, which caused lots of problems for this company.
Airbus A380: How the Airlines Compare." Busineesstraveller.com. Panacea Publishing, 31 Aug. 2013. Web. 1 Dec. 2013.
Airlines are still a very important part of our world's economy. In fact, the world would not function without them. People from every country use airplanes. An airline company has to be able to handle different cultures, ethnic groups, and financial groups. They also need to be able to handle the growth of passengers for the coming years. Mike Beirne says that U.S. Department of Transportation statistics suggest that international passenger traffic may actually increase. (Brandweek 1999) When you look at all of these factors, you can see that the coming years are going to be a role coaster for the airline industry. The airlines company that suite the majority of these people will get the bulk of the business. Because of this there are going to be many changes in the airline industry. The airline business is going to have a marketing frenzy. We can expect every company to make changes to their current planes. The reason that they are going to make changes is that they will want more of the business. If a company does not change, they will be left behind and eventually be put out of business. In this paper, I will show you different marketing techniques that will win over travelers.
Spence, Katie. "NASA's Supersonic Passenger Planes of the Future: Coming in 2025?" NASA's Supersonic Passenger Planes of the Future: Coming in 2025? N.p., 16 Nov. 2013. Web. 30 Nov. 2013. .
In 1990 Boeing was set to introduce the 777, the world’s largest and longest haul twin-bodied jet at the time. The 777 would serve the medium and long haul markets like the expanding Asian market. Boeing’s main competitors, Airbus Industries and McDonnell Douglas, had already announced plans to produce airliners that would compete directly with the 777. Analysts believed that the intense competition between the manufacturers would serve to depress prices for the airliners. Lower prices for aircraft would mean lower earnings.