Airbus and BoeingThe case study topic is Boeing VS Airbus; first of all, we need to know the brief background of the two commercial aircraft industry. The Boeing: Boeing is established by William E Boeing in 1910. Boeing has been the premier manufacturer of commercial jetliners for more than 40 years and held a virtual monopoly in the field. For decades the Boeing Company has been produced the 737, 747, 767 and 777 families of airplanes and the Boeing Business Jet and the upcoming 787 Dreamliner. Moreover, as the largest US exporter, Boeing has regularly run a substantial positive trade balance with the rest of the world of approximately US$ 15 billion per year. There are more than 12,000 Boeing commercial jetliners in service and serve for more than 90 countries. In 1997, Boeing announced that it would merge with the McDonnell Douglas. The combination was definitely creating a strong US competitor in a competitive global marketplace.
Airbus: the airbus was formally established in 1970 and began as a consortium of four European aircraft manufacturers: British; French; German; Spanish. There are around 5,102 Airbus aircraft in service. Since 1981, Airbus has started to progressively gaining market share and it surpassed Boeing for the first time in deliveries of aircrafts. Boeing, no longer claims a majority of new orders or deliveries. Airbus has thus become the dominant player in the global market .The Airbus company has been produced the A320; A330; A340; A350; new innovation A380 Today which compare to the Boeing 787 dreamliner. Airbus produces around half of the world’s jet airliners. The biggest rival is Boeing. The conflict between the Boeing and Airbus is that the success of Airbus depends on the European government subsidies.
The biggest single factor explaining the rise of Airbus was a type of subsidy called launch aid– low-cost or no-cost loans that enabled the European company to develop a family of airliners much faster than any purely commercial company could have, while also pricing its planes aggressively. In my opinion, the key issue of develop the aircraft industries is that the costs of a new airliner are huge. Besides, it is hard to keep the stability of the company and maintain the sustainable development of the company. Thus, Airbus, as a new entrant aircraft company, the fundamental development cost is enormous, so if Airbus without the government support they would have suffered many years of losses resulting in a possible bankruptcy. They have no competitive at all because the company should grasp a significant share of world demand to break even. So in order to become more competitive, the company has
n.g., to invest heavily in technology to avoid the need to make the cost of a new aircraft more affordable, and to increase profitability. In short, in order to compete, a company has to have competitive competitive power and have a significant stake in the future of the company, even as it’s now becoming increasingly the dominant force for global economic growth. If you don’t know how this works then you’ll definitely not agree with the first section of this document, but you should be able to take the following steps:(1) Create a joint business organization, one that includes all major stakeholders and the government that regulates all the major aircraft-market activities, which can be found in the relevant tax rules in the EPI and is a separate body that also includes all industry organizations. At the same time, each of the relevant industry groups can create a body which includes a majority of key stakeholders in the economy, the government and the various political branches, as well as a few other relevant stakeholders. This is the joint body on which the aircraft’s companies have a stake. (2) Identify, regulate and use all the aircraft trade and commercial aspects of each industry of the common market, including the production of all the products and services needed for that market. (3) Ensure, in a reasonable manner the functioning of an airline company in an efficient manner, by using tax and taxation systems, so that international trade becomes a natural part of the company’s businesses, as compared to domestic trade. (4) Ensure, in addition, that there is an adequate accounting system for the management of all important aspects of each aviation industry, including accounting for foreign direct investment (FDI), taxes, and other issues. (5) Encourage the company to develop new technologies (not just for production) so that they can be used for other profitable industry activities. (6) Ensure, in a reasonable manner, that international investment is in a way that facilitates and facilitates the growth of the company. (7) Encourage, even if the company does not manage it, to find productive and profitable investments of the type that allow the company to increase its efficiency, performance and innovation, such as new and existing aircraft parts, including new manufacturing techniques, new and existing airframes etc. (8) Invigorate, and actively encourage, the private enterprise in which the company invests and operates, by building a company that promotes their business, and by investing their resources in new businesses that help the company achieve its economic plan. The total investment of the airline industry in this country in 2007 totaled over $5 trillion, whereas the total investment of the country’s financial sector in this country was about $5.5 trillion, but it exceeded $20 billion by the end of last year.
The United Nation’s Aviation Investment Act of 2004 also provides for a number of additional and flexible financing mechanisms. In addition, the aviation community can also participate in projects that would otherwise require the development of special aviation programs, which could be implemented over the next five years. Such activities should be financed by a fair rate (i.e., less than 2% per annum) which would give the U.N., its government partners, its foreign partners and partners that make money in the commercial aviation sector economic opportunity.
The United Nations, the United Nations Development Program and the World Trade Organization can all take part in financing projects initiated in the United Nations or in other countries. (1) The UN and the World Trade Organization can work together at such an event. (2) The United Nations and the World Trade Organization can agree on a project or two, and the