The aircraft manufacturing industry has four major players: Boeing, Airbus, Bombardier, and EMBRAER. The latter is a Brazilian company that has built a success story by developing highly customized airplanes for regional aviation. EMBRAER wins many orders despite its airplanes' higher acquisition costs compared to its main competitor, Bombardier. According to market specialists, the acquisition costs are significantly compensated by the total maintenance cost of EMBRAER'S airplanes throughout their lifespans. This is gained through the constant development of new parts and components that are as light and durable as possible, a quality essential for all companies in this industry. What priorities seem to give EMBRAER a competitive edge in this industry? Flexibility and cost Innovation and flexibility Cost and innovation Time and cost

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
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The aircraft manufacturing industry has four major players: Boeing, Airbus, Bombardier, and EMBRAER. The latter is a Brazilian company that has built a success story by developing highly customized airplanes for regional aviation. EMBRAER wins many orders despite its airplanes' higher acquisition costs compared to its main competitor, Bombardier. According to market specialists, the acquisition costs are significantly compensated by the total maintenance cost of EMBRAER'S airplanes throughout their lifespans. This is gained through the constant development of new parts and components that are as light and durable as possible, a quality essential for all companies in this industry. What priorities seem to give EMBRAER a competitive edge in this industry?
Flexibility and cost
Innovation and flexibility
Cost and innovation
Time and cost
 
 
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