The Sales Leader Of Airframe Industry And One Of America 's Leading Exporters

2049 Words Jul 31st, 2014 9 Pages
The sales leader in airframe industry and one of America’s leading exporters, Boeing earned $5.1 billion from Boeing Commercial Airplane and $4.1 billion from other divisions-missiles, rockets, helicopters, space equipment, computers and electronics.
 Strategy:
 Variations: Boeing manufactured families of planes, creating several variations on the same base airframe concept. It required
• flexible designs,
• inherent growth potential
• modifications capability ( without need for wholesale revisions)
 Manufacturing Benefits: Producing a common family of planes on a common assembly line accumulated experience and ensured that learning does not get lost. It led to far-earlier break-even points.
 Facilities: Large centralized facilities were provided with sophisticated manufacturing systems and project management tools.
 Expertise in global marketing
 Technological leadership
 Customer support
 Production skills
As a consequence of such strategies, Boeing emerged as the industry’s low-cost producer.

In 1973, Boeing initiated a new airplane study, naming it the 7X7 (‘X’ stood for development model) to define and, if approved, to develop, Boeing’s next generation airplane.
 Program Definition (From May, 1973 to December, 1977):
During this period, Boeing worked the puzzle of market, technology, and cost.
 Market Assessment: Market segments were defined by range of travel- short(less than 1500 nautical miles), medium (1500-3000 nautical miles), and long (greater…
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