Bombardier Aviation Essay

With only a few large companies across the globe (Boeing, MD, and Airbus), the commercial aircraft industry essentially exhibits the qualities of an oligopolistic competition with intense rivalry. Here is an analysis of competition in the commercial aircraft business using Porter’s Five Forces.

is the air resistance on any given object that is moving in the presence of air. In the

We interview the site general manager for a company called Bombardier Transportation. His name is Jeff Gaffney. His official company title is MARC Operations General Manager. Bombardier Transportation is one of two subsidiaries of the company. The other half is Bombardier Aerospace. The parent company is called Bombardier Inc. Bombardier Inc. is headquartered in Montreal Canada. Jeff Gaffney is only involved in the transportation division of the company which is headquartered in Berlin Germany. Bombardier is the leading manufacturer of trains and the third leading manufacturer of planes. The company as a whole has roughly about 72,000 employees with a revenue averaging around $16.8 billion. These numbers are statistics split between the two divisions of the company. As stated before Mr. Gaffney is involved in the transportation division of the company so that is what the interview was primarily about.

Airbus does makes lots of competition to the Company. They have many similar aircrafts, with many similar aspects. Both companies have planes with big capacity for many passengers. What makes the Company stronger is the biggest market share of 39.6%, and Airbus market share is 25.2%. There are

The company researched in this report is Bombardier Canada. Bombardier has three headquarters; the Aerospace Administrative center is in Dorval, the Transportation Engineering site and divisional headquarters, and the Bombardier Inc. headquarters are both in Montreal (Bombardier Canada - Sites and contacts, 2014).

Canadair 50 seat regional jets are continuing to be turned out at a rate of 60

According to the article in Bloomberg by journalist Thomas Black, states that the demand for private jets is in the decline causing deep discounts for new aircraft and fueling a 3-year slide in prices of used planes. In August pre-owned jets were down 16% in preowned prices in comparison to the previous year. As they may rely on the demand to increase based on new companies buying aircrafts, it may not be possible as Honeywell Internationals survey reported this has been this has been the lowest point in seventeen years. Companies like Bombardier are offering discounts up to 7 million on a Challenger 350 which goes for about 26 million to help eliminate competitors entering the market. The area of deliveries for aircrafts is forecasted to

Overview Bombardier Aerospace is a division of Bombardier Inc. and the third largest global airplane manufacturer after Boeing and Airbus. Its headquarters are in Quebec, Canada, and with 33,600 employees is poised to become a major player in helping the developing world acquire aircraft. The C-Series is a family of narrow-body, twin-engine, medium range jet liners which, despite some challenges in orders, remains a committed product line. It is designed for the 100-150 seat market, which is about 20,000 aircraft globally and represents about $250 billion in revenue over the next few decades. One interesting fact about the C-Series is that it is truly global in components and supply, sourcing from manufacturers in China, Italy, The Netherlands, France, the United States, and Great Britain (Change is in the Air, 2012).

1-Bombardier is mostly famous for business-military 2- High dependence on financial stability of airlines can aircraft while CSeries are commercials in competition be a problem.IT was the main reason of stopping the with giants like Airbus, Boeing and Embraer. This makes project at 2006 due to failing to secure significant airlines more cautious in ordering CSeries, because they orders to that point question Bombardier’s technology and experience in commercials 3-The

After sucessfully selling military aircrafts adapted for troop transportation in the 1950’s and introducing commercial aircrafts model 707, 727 followed by 737, Boeing has since then become a leading producer of military & commercial aircraft.

In 2014, the second year I contribute to the organization, we will launch a brand that has been planned for the past year. At the same time, I am entrusted to be in charge of one of the work programs in the business division that will be a container for launching the brand, namely convection. This is one of new experiences and challenges. I did a supplier survey and searched for a convection link for the product we were about to launch. At that time I thought, I should have a great link to bombardier brand we do can spread to many parties. I'm looking for cooperation with events. With all the efforts I have made, I managed to cooperate with two big events and become a vendor for all merchandise in the two events. In addition to the smooth launch

Airbus predicts that there would be demand for more than 1500 super jumbos over the next 20 years that would generate sales in excess of $350 billion. And they could sell as many as 750 over jumbos over the next 20 years with a break even on undiscounted cash flow basis with the sales of only 250 planes. There is a huge profit in this business if Airbus succeeds in the industrial launch of A3XX jumbo jets.

Airlines Industry is large and growing, it is also the most fiercely competitive sector. It facilitates international trade, world economy growth, tourism and international investment. The airline industry has over time with the use of modern technology been able to take advantage of the short haul, high frequency and gained a competitive advantage over other forms of travel, such as buses and railroad travel. Additionally, the airline industry still holds the market for global travel at a low cost and convenient way to travel. The aviation industry gives a good contribution to the GDP which includes the following: airline services, general aviation, civil airport operations, aircraft manufacturing, and

British Airways is the one of the largest airline companies, and the passengers carry overall in the fifth largest in the world. Most of plans are stay in Heathrow Airport which is the highest of main international airport. The British Airways has a long history and airlines cover 133 countries; include 373 airplanes. The BA Company includes 50,086 workers to be in the service, which is one of the largest employers and employees in the United Kingdom.

In 2000, Airbus was considering launching a super jumbo jet that they called A3XX. This aircraft could seat 550 – 900 passengers, which classifies it as a type of “Very Large Aircraft.” The defining feature for Very Large Aircraft (VLA) was that it could hold more than 400 passengers (or carry more than 80 tons of freight). Boeing was a monopolist in the VLA market, since the only other VLA available for purchase was their 747 aircraft. For Airbus, the question of deciding whether to launch A3XX was a question of whether they (a potential entrant) should attempt to break into the market of an incumbent monopolist (Boeing).