Following are the competitive advantage of Boeing which has been operating in Aerospace Industry since 1916. The competitive advantage mentioned below give competitive edge to Boeing over its competitors.
Effective Strategic Planning
As a major airline producer, Boeing has ensured a competitive edge by ensuring that all its departments have efficient goals that go hand in hand with its strategic planning. The engineers departments, product testing department and the sales and mechanical departments are all instructed to ensure their services have an influence on airline companies, the military as well as other communities that use their products. In doing this, the company has set out some competitive advantage over competitors.
Global Presence
Boeing’s global presence, in availing production facilities around the globe has been a major advantage. With a presence in 140 countries worldwide, Boeing has been able to penetrate a huge market, and thus has made it easy to sell in different parts of the world. In interacting with different nationalities, Boeing has created strong ties with different companies, including the competitors. This allows it to have the joint programs with different companies thereby diversifying its chain of products. Customization of its Boeing planes has ensured that the consumers are always willing to return for new custom made planes.
Broad Product Line
The interaction with many companies has led to the production of a broad product line. With the likes of 717, 767,737, 777,757 jetliners and Boeing Business Jet, the company has expanded its market share by ensuring that a plane is available for a specific need. The Dreamliner has been availed to keep the competition with other major airlines such as Airbus. Boeing has, therefore, successfully catered for niche segments as well as major markets. With over 12,000 commercial Boeing jetliners being serviced globally, the company attributes to over 75 percent of the global fleet.
Strong Distribution Network
The global presence has allowed Boeing to establish a strong global distribution network that is strategically positioned to avail the real time inventory information on demand. With the advanced digital systems, Boeing ensures that its fleet productivity meets the optimum targets. With an already established working relationship with suppliers from different countries, Boeing outsources designs concepts and latest technology. This expands its market since the suppliers and host countries buy Boeing products, more often compared to the competitors. An example is the partnership with Kawasaki Heavy Industries and Mitsubishi which has allowed Boeing to dominate the Japanese jet market.
Giant Partnerships
Boeing reputation has allowed the company to diversify its products as it partners with other major companies. Partnership with the likes of General Electric and Rolls-Royce has established the company as a reliable partner in the development of engines as well as other products. Its dedicated support for airplanes that are out of production has ensured a good after sales service that ensures a reliable loyal customer base. Competitors such as Airbus and Embraer find it hard to keep with the competition due to such strategies.
Access to the Diversified Market
It has been one of the major advantages Boeing has held over its competitors. By stabilizing its workforce around the globe, Boeing has ensured a sustainable working force which meets the ever changing demands of the changing technological company. With strategies as these, Boeing is bound to be on the forefront of the airline industry.