Paper Summary:

The paper provides an overview of the Boeing and Airbus companies and discusses how each has taken a different approach to increasing airline efficiency. The paper addresses the contention that Airbus is receiving unfair help, in the form of subsidies, from governments in the European Union, and suggests that if Boeing wishes to retake its place as the top producer, it must take actions to reduce operating risks. The paper concludes that because of the different approaches taken by Boeing and Airbus in designing and marketing new aircraft, it is likely that both will remain major competitors for a long time to come.

Outline:
Introduction
Boeing
Airbus
Comparison
Other Competitors
Suggestions for Boeing
Conclusion

From the Paper:

"Airbus began as a consortium of four European aircraft manufacturers in 1970 (Tong & Tong, 2003). One member company came from each France, Germany, Britain and Spain. In June of 2000, the consortium formed an independent company called Airbus Integrated Company (AIC). Within AIC, the original four members of the consortium continue to work together on aspects such as design, engineering and production of aircraft parts. The company is headquartered in France. Assembly of Airbus Aircraft takes place in both France and Germany (Tong et. al., 2003).
"Airbus bases its development strategies on four main principles (Tong et. al., 2003). First, the company works to satisfy the market. They listen not only to airlines, but also to pilots and customers in an effort to anticipate what the market wants or needs and then work to meet these desires. Next, the company is always willing to adapt new ideas that can be used to improve their own products. This can include materials, procedures, and technologies. Third, the company attempts to increase the revenues of airlines by making the experience more appealing to passengers. Finally, develops families of aircraft. Models in the same family possess similar features, such as cockpits and flight handling systems. This consistency leads to several benefits for airlines, such as lower training costs, more flexibility for pilots and smaller operating expenditures (Tong et. al., 2003)."

Sample of Sources Used:

• Mahapatra, R. (2005). Boeing vs. Airbus. Retrieved November 9, 2008 from Factiva.
• Richard, T. (2005). Ready to take wing. Retrieved November 9, 2008 from Factiva.
• Tong, C. & Tong, L. (2003). Boeing vs. Airbus: Competing for the future. Competitiveness Review. Retrieved November 9, 2008 from Academic Search Premier.

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