Case A: Pricing Factors for Boeing and Its Competitors
The world airline industry is in the midst of a serious economical crisis. Airlines across the globe are dealing with the threat of bankruptcy and an uncertain future. The effects of terrorism, rising fuel costs, labor problems, dissatisfied customers, low-cost carriers and declining passenger numbers are creating an environment that is extremely competitive. The many problems hurting United, Delta, and US Airways have spread to the airline manufacturing side of the business. The world's leading airline manufacturers, Boeing and Airbus, are forced to compete in an unpredictable industry.
Boeing is based in Seattle, Washington and was founded as Pacific Aero Products in 1916. Boeing's product line includes commercial, business and military aircraft, space systems, electronic information systems and tactical weapon systems. Total 2003 sales were approximately $55 billion and Boeing delivered 281 commercial aircraft. Boeing uses its website http://www.boeing.com to help deal with the economic and competitive airline industry. Boeing's internet site is extremely detailed and does a great job of outlining their business goals. There are links to Boeing's global customer support, spares and logistic support, maintenance and engineering services, fleet enhancements and modification services and flight operation support. The key is to allow current and potential customers easy access to technical, financial and informational support. This site offers virtual tours of all commercial aircraft ? including videos and photographs. Boeing also offers information on industry topics like airport noise regulations, jetliner safety reports and world cargo forecasts. This web site also links users to airline industry magazi ...