Boeing Business Analysis Essay Example

Boeing Business Analysis Paper Boeing Business Analysis MGT/ 521 10/10/11 Boeing Business Analysis Before take the decision whether or not invest money in a company it is imperative to analyze the overall situation of the company. Boeing was selected for study because, as representing American big business at the millennium, the company was reputable an unsullied by financial scandals. Boeing is engaged in the design, development, manufacturing, sale and support of the commercial jetliners, military aircraft, satellites, missile defense systems and services. Boeing is situated in the 36th position out to the fortune 500 which is very suitable however as the economy is changing it is imperative to perform a SWOT analysis in deep in order to know the company better and understand they overall situation. Strength By their power and influence Boeing has several strengths and one of them is the leadership in innovation. Inside the commercial jet industry and government sector Boeing is known a leader in innovation models of technology defined by their performance an supported by their technical expertise. Another one is that Boeing has a strong reputation of quality and long-standing costumer relationships. Therefore they have built the image of being a company constantly capable of delivering exciting new models that meet the stringent demand of their many and widely varied costumers. To finish whit strengths it is their successful participation in multiple, diverse market segments. Not only are they the market leader in the commercial jet industry, they have increased their share of the military and space markets. Lastly, the multiple markets allow them to preserve synergy between these businesses. Weaknesses We will write a custom essay sample on Boeing Business Analysis specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Boeing Business Analysis specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Boeing Business Analysis specifically for you FOR ONLY $16.38 $13.9/page Hire Writer As well as strengths Boeing has weaknesses that are important to address. First weakness and the most relevant to aim is the development cost for new products. Because this company is innovative and have a strong reputation in providing high quality the cost to produce their invocation is high. Second material to work whit. As a result these provoke a domino effect causing the delay in the conclusion of their projects production and the inability to predict a new production cycle. Lastly, Boeing has a strong position in the aerospace and defense industry. This strong position provides the company a competitive advantage. However, intense competition across all business segments of Boeing could erode the market share of the company and could also affect its profit margins. Opportunities Inside the opportunities Boeing has increasing demand for the commercial airplanes. This is derivate of the world challenge changing market and the rise of the new air business, as well as the rapid growth of air travel in the world’s wide. Also the emerging economies such as India and China are expecting to increase military modernization therefore this become an opportunity in the defense sector. Threats One of the threats is the intense competition in the aircraft market and the airline industry. The commercial jet aircraft market and the airline industry remain extremely competitive therefore Boeing faces aggressive international competitors being Airbus it principal competitor. Another threat is the great east Japan earthquake impact. Japan were forced to halt their operations due to severe damage caused by earthquake to their buildings and manufacturing facilities. Boeing is dependent on Japanese suppliers for aircraft components. Lastly threats is the increasing jet fuel prices. In recent past, the prices of jet fuel have increased sharply, hurting the bottom lines of most airlines. After reviewing the SWOT analysis, it is important to determine which stakeholders are most important in particular whether their interest and needs coincide whit the Boeing viewpoint. Internal stakeholders Employees: Boeing employees demand a safe and secure work environment that fosters communication, productivity, creativity, teamwork, and employee engagement. Also, employees require compensation and benefits that are fair and equitable for the type of work and geographic location (local market) where the work is being performed and competitive whit other word-class companies. Shareholders: The shareholders expectation is to obtain a profit and superior return on their assets. External stakeholders Government: which is the primary corporate stakeholder and the final arbiter of what corporations must do and Boeing is aware of their necessities. Because government is constantly changing and no government last forever, Boeing is entailed to complete all government ordinances such as taxes, employment law, international relationship, quality on their military instruments etc. Customers: Boeing deals whit its customers in a fair and impartial manner their business are won or lost on the merits of Boeing products and services making special efforts and focus on providing customers whit accurate and valid information. Communities: Corporate citizenship is the responsibility of the entire Boeing community. The Boeing Company recognizes the critical role it plays in the many diverse communities where they have presence, and they take that role seriously. Their sustained involvement in the community is an important element of Boeing culture and integral part of the way they do business. Boeing maintains their commitment to good citizenship by contributing cash, in-kind and surplus donations, and the expertise of our people. Also, they support programs that encourage the charitable generosity and volunteer spirit of their employees and retirees. Workplace giving is focused through the Employees Community Fund, which is the largest employee-owned charitable organization in the world. Boeing people at every level are encourage to become involved in their communities, and they recognize outstanding community service through annual awards for employee and retiree volunteers. Suppliers: The relationship whit their third-party providers, including consultants and contact labor, are definite by contracts, which are base on lawful, ethical, fair and efficient practices. Boeing relationship whit suppliers are based on mutual trust, integrity and comminent to the highest ethical principles. Procurement decisions are made based on factor such as quality, service, price, delivery, and best value. Care is taken to avoid conflicts and the appearance of partiality. Also the expectation of the supplier are based in three main proposes. First, to promote full and open competition based on their specification and evaluation criteria that allow suppliers to respond. Second, to obtain the best possible products and service at the best value. Third, to eliminate waste, fraud and abuse. In summary Boeing is committed to the highest standards of ethical and business conduct as it relates to the procurement of goods and services. Boeing ensures their success by satisfying their customers and increasing shareholder value. In addition Boeing is committed to the highest standards of ethical and business conduct as it relates to the procurement of goods and services. The relationships whit their costumer, employee, third-party providers, including our consultants and contract labor, are defined by contracts, which are based on lawful, ethical, fair and efficient practices.