SWOT Analysis for Possible Ventures. Airbus Joint Venture with Boeing Essay

SWOT Analysis for Possible Ventures. Airbus Joint Venture with Boeing - Essay Example It is evident from the study that in the joint venture, Airbus has strengths that would make it stand out from any possible competition and posed threats. Firstly Airbus has advanced technology in aircraft manufacturing as compared to Boeing, its technologies such as fly-by-wire, joy stick control and laser guided riveter would make Airbus to have a bigger share of the joint venture. Secondly, the manufacturing of Very Large Commercial Transport (VLCT) would take place in Europe where the company has well-established markets. Although the company stands to benefit from the opportunities presented by the joint venture there are some threats that the company needs to consider. Competition with Boeing will make Airbus to cut its prices and this will affect its profit margins. From the venture, the company will be forced to expose its technology and manufacturing techniques to Boeing. In the joint venture, Boeing will have better opportunities than its rival company Airbus will. However, the two companies expect almost similar opportunities. Successful production and marketing of the VLCT will create deals that would increase the company’s capacity to market its other models. Due to the current condition of saturated airports and need for expansion there will be a ready demand for the proposed VLCT. Currently Boeing controls about 60% of the aircraft market and it hope to increase its niche from the venture. The initial cost of producing a VLCT stands at $5-$20 billion, which the company hopes to raise over the next 4-10 years. From the projected demand of 500 units for $150 - $250 million, Airbus expects to create a deal worth 1.25 trillion dollars, which is a remarkable return on investment. Boeing has many strengths that will enable it to benefit from the possible opportunities, unlike it rivals Boeing has a high control over its suppliers with some being sole-suppliers. This makes Boeing to stand out as a well-established aircraft manufacturer. Boeing ha s enjoyed a long-standing agreement in the production of military aircrafts and this has enabled the company to generate a lot of profit. Although Boeing is a strong company, the company has some weakness. Firstly, Boeing may lose its market share if it is unable to produce the VLCT economically. The company has a low production capacity and therefore it may not handle the extended demand adequately. These weaknesses create competition threat that the company faces from its rival company Airbus. Airbus owns or has the rights to most of the critical technologies required in the production of VLCT and therefore Boeing is threatened by possible exploitation. Part 3; Analysis of Airbus Standalone initiative Although the VLCT is a proposed joint venture,

Carol-Columbia-essay2,3-0923-ec 19970 Essay Example | Topics and Well Written Essays - 1000 words

Carol-Columbia-essay2,3-0923-ec 19970 - Essay Example The case was not much different with the ‘Standard Translation Planning and Management System’ (TPMS), a tool for managing the IBM globalization and localization process. The generation system set as per the standard protocols of the related technology, developed by a team of engineers from Egypt, failed poorly with regard to utility, steadily affecting customer satisfaction. In 2007, I was appointed as Manager of a new team with the responsibility of renovating the existing system and developing a Next Generation TPMS .An extensive research into the technicalities of the system, and upon taking the opinion of the clients, I could detect four major drawbacks of the ‘standard’ system .They were ‘very slow performance’, ‘lesser customer utility’, ‘too complicated advanced features’ and an ‘unfriendly user interface’. A shift in the focus from the theoretical technology standards to very practical customer friendliness was the basic change needed. The primary attention in the architecture of the new system was to select tools as per user’s requirement. On a customer based investigation, some users required the replacement of ‘desktop application’ with ‘web application’ so as to enjoy a clean application added with the ease to use. As the others’ concern was system response time, they opted for desktop application which was faster than the web application. A trial to integrate the requirements of this wide range of customers gave us the thought of blending both the applications which was quite new to the knowledge base and expertise of IBM. The product was to be formulated based on practical mix of both the tools. The challenge was to bridge the standard framework and the practical architectural tools. The effort started with a feasibility study and I gradually led the process of prototype development. Finally we invented a desktop web-client architecture which ensured