Boeing Case Study

The Boeing Company

The ‘Boeing Company’ is an American MNC that designs, and manufactures, as well as sells rotorcraft, airplanes, satellites, rockets, telecommunications equipment, and the missiles all over the world. The company also delivers the leasing and the product support/assistance services. Boeing is amongst the biggest global aerospace manufacturers. It is the 2^nd-largest defense contractor in the whole wide world based upon 2018 revenue. It is the biggest exporter in all of United States by the dollar value.

Boeing had been founded by the person named William Boeing. It was founded in Seattle, Washington, on the 15^th day of the month of July 15 in the year of 1916. The present company is the outcome of the merger or amalgamation of Boeing and McDonnell Douglas on the 1^st day of the month of August in the year of 1997. The above said company has the company headquarters in Chicago, Illinois. It can be said that Boeing is actually organized into 4 main divisions: one is Boeing Commercial Airplanes (BCA); second is Boeing Defense, Space & Security (BDS); third is Boeing Global Services; and fourth is Boeing Capital. In the year of 2019, Boeing recorded an amount of US$ 76.6 billion in the sales. Read about our other case study help topics has been designed just for you.

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SWOT of Boeing

Strengths

1. Diverse Range of Products

A big strength of the Boeing company is that it provides a wide series of products. This provides the company with a lot of advantage over the other competitors.

2. Strong Supply Chain

The manner in which Boeing manufactures the products requires the company to purchase raw materials from several places throughout the world. Hence, a strong and an efficient supply chain is established.

3. Partnerships

Boeing has tactically partnered up with pertinent companies that are actually big names and therefore, deliver mutual benefit in respect of both brands.

4. Innovation

In the present days, Boeing consists of a big name for being the innovative, as well as it is extremely famous for its determination and drive to keep giving birth to the new ideas. Hence, you can completely trust us with quality work through our case study help service, below read more.

Weaknesses

1. Poor Labor Management

Boeing consists of a labor force that is actually spread all over the world and it actually adds up to a massive number; it is very difficult to maintain steady and constant standards across each and every one of it. There would be problems and challenges. The Employees in the South Carolina had been fired over the creation of a union. Such circumstances might give rise to internal discrepancies within the company and thereby, cause the employees to revolt.

2. Heavy Reliance on Out-sourcing

As mentioned earlier, Boeing imports several of its raw materials as well as components from the other countries; and if there is any kind of problem in the specific supply chain there, then it can give rise to significant issues for the Boeing company. This is an argument that the particular company continuously needs to think about, as well as it can rapidly turn into a big weakness.

3. Dependence on the U.S. Government

A huge part of the revenue of Boeing comes from the specific contracts that it articulates with the government of the United States; this specific factor puts the particular company under the continuous influence of economic as well as the political climate of the nation.

4. Safety Concerns

A specific airplane of the above said company named Boeing 737 Max, had to face a lot of issues in the earlier years when 2 of its planes actually crashed fatally because of a similar malfunction. This was a primary weakness for the Boeing company. Such incidents actually impact the trust that the customers have in any company and thereby, leave a specific mark upon the name.

Opportunities

1. Utilizing the Capacity for Innovation

Boeing has already demonstrated that they have a limitless capacity for the innovation. They have continuously strived in order to come up with the new ideas and the inventions that actually give them an advantage over the other competitors or rivals in the specific market.

2. Environment-Friendly Technologies

Boeing, being a brand, has already been thinking about the sustainability as well as working in order to decrease its carbon footprint.

3. Increasing Demand

The demand in connection to the satellite technologies as well as in connection to the other space-related planes has consistently been increasing. This can be said to be a fantastic opportunity for the Boeing Company in order to invest in such projects and then develop the new products. If they are able to exploit such opportunities completely, then they would be able to generate very good influx of the profits and money in respect of the company.

4. Growing Markets

The specific aerospace market is actually growing internationally, and that actually opens up several spaces for the Boeing Company in order to retain its own market share for achieving even much more. This can be said to be a good opportunity in connection to the company for increasing its revenue. The market is just expected to grow much more due to the budding technology as well as the quick-paced industry.

Threats

1. A Competitive Market

Competition can be said to be a big threat that might be faced by any firm as there is all the time so many things at stake. One might lose customers if one is not continuously thinking about the establishment of the company as the topmost shareholder in a specific market that actually manages to retain the consumer base by delivering them with any unique value.

2. The Pandemic

The Covid-19 pandemic has actually made individuals very wary of the international or even the local travel and definitely rightfully so. This specific incident has reduced the business in connection to the airlines, and now they are struggling to gain the customers. Several airlines may become insolvent if the above said situation persists, and this shall reduce the airplane sales as well. The specific economy has been declining worldwide and hence, Boeing has been affected by such adverse circumstances as well.

3. Public Image

Going back to crash of a specific airplane of Boeing, such kind of fatal incident might highly concern the general populace in relation to the safety measures regarding the aircraft as well as it may also heavily affect the image in connection to the company.

4. Upcoming Recession

All over the world, the nations are heading in the direction of a recession, the financial situations are actually dropping, and the companies are becoming insolvent. All the particular airlines that buy from Boeing are actually having a very hard time staying inundated and hence, naturally this shall affect the business of Boeing as well. This specific recession has actually left no company unaffected, which includes Boeing.  Thus, with our Boeing case study or Starbucks Case Study, you will get immediate response.

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PESTEL of Boeing

• Political Factors that Impact the Boeing Company

The Political factors actually play an important role in the determination of the factors that may impact the long-term profitability of The Boeing Company in a certain nation or market. The Boeing Company has been operating in the “Aerospace/Defense Products & Services” in more than twelve nations and has been exposing itself to different kinds of political environment as well as political system risks.

• Economic Factors that Impact the Boeing Company

The Macro environment factors like – the inflation rate, the savings rate, the interest rate, the foreign exchange rate as well as the economic cycle actually determine the collective demand as well as the aggregate investment in any economy. While the micro environment factors like the competition norms, impact the specific competitive edge of the firm. The ‘Boeing Company’ can utilize the economic factor of any nation like the growth rate, the inflation & economic indicators of industry like “Aerospace/Defense Products & Services industry growth rate”, the consumer spending and others in order to forecast the specific growth trajectory of sector as well as organization.

• Social Factors that Impact the Boeing Company

The culture of society as well as its manner of doing the things affect the culture of any organization in any environment. It can be said that the shared attitudes as well as beliefs of the general populace play a significant role in the manner in which the marketers at the above said Company will be able to comprehend the customers of any given market and the manner in which they actually design the marketing memo for “Aerospace/Defense Products & Services industry consumers”.

• Technological Factors that Impact the Boeing Company

Technology can be said to be fast unsettling the various industries all over the world including that of the Boeing Company.

• Environmental Factors that Impact The Boeing Company

The different markets consist of different environmental standards or norms which might be able to impact the profitability and success of any organization in such markets. Even inside a nation often states might have distinct environmental laws as well as liability laws.

• Legal Factors that Impact The Boeing Company

In several nations, the legal structure as well as the institutions are actually not robust enough for protecting the IPR of any organization. A firm must carefully assess prior to entering such specific markets as it might result in the theft of secrets of any organization and thereby, the entire competitive edge.