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The Boeing Corporation, Case Study Example

Pages: 2

Words: 511

Case Study

This paper examines aspects of strategic planning based on the Boeing Corporation based in Seattle, USA. How they approach marketing their products overseas and techniques in their advertising models.

The boeing corporation

The Boeing Corporation has the mission of being the world’s premier aerospace company in terms of quality, profitability and growth. It aims to deliver this by having a number of key strategic objectives:

  1. Continuous improvement in terms of quality over its entire product range
  2. The retention of highly skilled and motivated workers
  3. Top tier management team who excel in the aerospace industry
  4. Technical innovation and excellence remaining at the forefront of the aerospace industry
  5. Solid Financial control in order to meet capital commitments
  6. Integrity with customer supplier relationships(123 helpme.com)

At the moment Boeing gains most of its strength from its 65% sales to the American domestic market. Nevertheless the build of the Boeing 737 Dreamliner is set to penetrate the international market scene with a large number of existing orders already placed. The strategy is to build long range aircraft that can travel point to point serving City Pairs as opposed to being reliant upon Hub Airports. This attacking the booming market of low cost airlines. The main rival being the European Airbus A380 but the European company is unsure about its future and currently is heavily reliant upon the Far East market for export penetration.

Boeing is highly dependent upon the US Government and the major international airlines for its’ sales. Hence any shift in their buying power has a significant impact on Boeing.

Boeing products remain as some of the most expensive in the world and as such the products and services are both marketed and sold within a pure oligopoly environment. The Company focuses most of its market targets on its existing client base and as such Boeing has been forced to offer trade discounts and other incentives in order to maintain the loyalty of its customer base.

Boeing expects to receive more international competition in the future and this particularly coming from China and Russia in the single aisle jets. This is considered to be more problematic for Airbus who are pinning their hopes on penetration in the Asian market place.  Boeing is also starting to aggressively attack the military aircraft space and where historically this focused on domestic sales, it is now moving into international markets “We’re seeing a flattening of the (U.S.) defense budget, but we see a lot of opportunities for us internationally,” said Jim Albaugh, president and CEO of Boeing Integrated Defense Systems (IDS).” (Associated Press).  Boeing will continue to push its track record in the area of quality, timely delivery and excellent support and maintenance record. It is already established in lucrative international markets “The latest model, called the F-15 Silent Eagle, is designed specifically for customers in the Middle East and Asia Pacific. It is meant to compete against Lockheed Martin Corp.’s F-35 Joint Strike Fighter, which incorporates extensive stealth technology.” (Associated Press).

Works Cited

123 helpme.com. The Boeing Company. 16 11 2010. 15 11 2010 <http://www.123helpme.com/view.asp?id=88896>.

Associated Press. Boeing’s military wing banks of foreign sales . 14 6 2009. 15 11 2010 <http://www.msnbc.msn.com/id/31356010/ns/business-aviation/>.

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