Falling of Boeing

Over the past decade Boeing Aviation has been dominating the Japanese market; however, recent news from the failures and defects of the new Boeing 787 Dreamliner brought upon a gap that was quickly filled by the European company Airbus that sold 9.5 billion dollars worth of A350 wide-body jets. The faulty products from the Boeing company drew plenty of negative perceptions on the quality of their products as well as the outlook of the company. Shown by a change in their brand positioning, Boeing’s supplier power has decreased significantly as airlines alter their preferences towards their substitute companies. However, as Boeing is developing their new line of Boeing 777x’s, Emirates Airline is considering in ordering 30 to 50 billion dollars worth of planes. If Boeing reconsiders their priorities, maintaining Emirates as a valuable customer in their customer segment and offering deals to strengthen the customer relationship is vital for Boeing’s future well-being. This event shows the competitiveness in competitors and the potential gain and loss from each transaction as well as the importance of a business’ brand positioning.

http://www.nytimes.com/2013/10/08/business/international/jal-orders-9-5-billion-worth-of-airbus-jets.html?pagewanted=1&ref=business

A 787 being treated after faulty technical problems.

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