Boeing’s Struggles Continues

Boeing, the world’s largest aircraft manufacturing company, appears to have many problems, with each one leading to the next. Ever since 2007, Boeing had production and software issues to electrical, as well as battery explosions during the first batch of deliveries to commercial aircraft companies, resulting in the delay of the Boeing 787 dream liner aircraft.

Boeing has since then rectified the problems with its aircraft, but is behind in its delivery schedule and continues to disappoint while Airbus is becoming continually more successful with its Airbus 350 aircraft. The Airbus 350 is the direct competitor with the Boeing 787 and boasts a 25% efficiency margin over its rival aircraft.Recently, Airbus landed a monumental deal with Japan airlines worth $9.75 billion with an order of 31 Airbus 350’s with the possibility of another 25. This is revolutionary, as Airbus has finally been able to break into uncharted territories that had previously been held exclusively by Boeing.

Japan airlines has traditionally relied solely on Boeing with a few exceptions and the once strong Boeing has begun to weaken. Airbus’s success can be attributed to Boeing’s damaged credibility and can be seen as a gift to Airbus, which Boeing will continue to feel in the years to come. Boeing has to gain back its credibility to the airline industry that its aircraft can deliver on its promise and reliability to be able to compete with Airbus.

 

“Boeing 787 Dreamliner: A Timeline of Problems.” The Telegraph. Telegraph Media Group, 28 July 2013. Web. 08 Oct. 2013.

http://www.telegraph.co.uk/travel/travelnews/10207415/Boeing-787-Dreamliner-a-timeline-of-problems.html

“Airbus and Japan Airlines Agree Landmark $9.5bn Deal.” BBC News. BBC, 10 July 2013. Web. 08 Oct. 2013.

http://www.bbc.co.uk/news/business-24424873

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