Marketing Presentation For Boeing
Marketing Presentation For Boeing
Marketing Presentation For Boeing
Marketing Management 586 Spring 2006 By: James Parker, Kellie Logan, Sally Wencel, Barry Corum, Jeff Thul
The Macroenvironment
Global population growth in developing countries. Increase in average life expectancy in western civilization. Increase of disposable income in developing countries.
The Macroenvironment
World Trade Organization (WTO) litigation between U.S. and Europe Response to customer wants and needs Energy and material conservation Increasing world wide demand for commercial airlines.
The Macroenvironment
The Macroenvironment
Competition
Airbus Industries of Europe
Formed in 1970 From a Fledgling to a Formidable Opponent Since 2000 Airbus has been the number 1 in sales In 2005, achieved a 51% share of global market
The Macroenvironment
Differences between Boeing and Airbus
Airplane size Point-to-Point vs. Hub-to-Hub
Its more accurate to say that we have two distinct views of the market. We believe that airlines ultimately respond to what passengers want more opportunities to fly where they want to go, when they want to go. Randy Basler VP Marketing
SWOT Continued
Weaknesses
Development Costs for new products: $8-10 Billion Reliance on Suppliers-Component Manufacturers (both strength and weakness)
Opportunities
New technologies to build lighter, longer range aircraft New airline customers in Asia and Pacific market Airline travel pattern changes supporting Boeing product line
SWOT - Continued
Threats
Aggressive Airbus Price Discount Practices
WTO dispute regarding EU subsidies
Changing economics
Domestic airline bankruptcies
Mission Statement
The Commercial Airplanes segment is involved in developing, producing and marketing commercial jet aircraft and providing related support services, principally to the commercial airline industry worldwide.
Market Strategy
Three prong strategy
Establish international partners in production Use light weight materials Develop new midsized aircraft
Confirmed Orders
Marketing Productivity
Objective: Profitability Expects to earn almost 57% of the revenue for the 787 Competitor: Airbuss A350
Scott Carson