Abstract
This case was made in 2004. It explains the performance of the aerospace industry at that time. Two companies shared the market, Boeing and Airbus SAS. In 2002, Boeing was the leader in the global market, with 70.7% of the Asian market, 67.2% of the US market, 56.9% of the Latin American market and 39.3% of the European market. The second competitor in the market was Airbus, with 23.4% of the Asian market, 23.3% of the US market, 16.6% of the Latin American market and 29.9% of the European market. All the other companies were not big enough to fight against the duopoly. The case explains further that Airbus is in the process of developing new technologies compared to Boeing and is on the way to winning better market shares while Boeing will lose some.
What can make Airbus so successful? How can Boeing hold on to its position as the number one in the market?
To answer these questions, we will analyze the strategic moves that Boeing should undertake in order to achieve profit stability, increase its market share and align its global strategy with its global structure.
