Boeing is set to start flying its newly announced Boeing 777X and this has some people uneasy as to how it will affect the company moving forward.
On one hand, its great new innovative product that reduces the single biggest cost for airliners; fuel, and help it compete with Airbus which is unveiling its own new aircraft in 2014. It will also allow customers to replace some of the aging 747’s they currently use and even help reduce CO2 and improve global warming.
On the other hand its creating a product thats is not only more expensive but also one that can potentially cannibalize its one 747 airplanes market. That could mean years and years of research and hundreds of millions of dollars down the drain. This is a decision Boeing must make after careful consideration.
IN the end I believe the company should continue on its quest to produce 777 even if it cannibalizes its current 747 market as its better for Boeing to make a product that cannibalizes its market share as opposed to a competitor making one.