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MGT5IPM: International Project Management

   

Added on  2020-05-04

11 Pages2867 Words76 Views
International project managementName of the studentProfessors’ name Institution of affiliation

IntroductionAirline is the most appropriate means of transport in the world for long distance. Airplane production is a process that is not only profitable to the production company but also a process that educates, solves some urgent problems and motivates.The two leading aircraft companies in the world are the Boeing 787 famously known as the Dreamliner and Airbus 380 also known as the “super jumbo”. The two companies produce the largest aircrafts in the world. They have employed the light weight technology to reduce the weight of the aircraft and improve the efficiency.These companies employ a very high technology to ensure efficiency and comfort for the passengers. Modern airplanes are fitted with comfortable seats and technologies to maintain a favorable environmental condition. The competition in the airplane market is fundamentally based on the comfort of the passengers and the durability of the plane.Generally, this paper will provide a conceptual understanding of the case of A380 program, the Boeing 787 and the recommendations to the Murasaki Aircraft Corporation MAC aircraft producing company, to help the company avoid the mistakes done by the two companies in their productions.Analysis of Boeing 787 and Airbus 380The two companies’ functional product differentiations is the rivalry between them. They have different products based on their different visions. Airbus 380 “super jumbo” is the biggest plane ever known in the aviation industry. Super jumbo has a capacity of between 500 to 800 passengers on its two full length decks. It is fitted with four

enginesand has 550 square meters of usable floor space. Airbus 380 formally known as the Airbus 3xx was made to challenge the monopoly of the Boing in the large Aircraft market. The plane serves the third and the second longest serving non-stop flights in the world, with the speedof up to 900 km/h. By 2017 September the company had recorded 317 orders for the A380 aircraft (Louis and Nenkova. 2009). The A380 aircraft is made with a view that airline companies will not stop flying small airplanes for shorter distances and also sometimes the passengers will prefer boarding one plane that takes them from the departure point to the destinations without major stop- overs and shifting from oneplane to another.On the other hand Boing 787 is different on the design that presents a more appealing alternative based on its fundamental vision of making passengers more comfortable on the flight. It is clear the passengers prefer point-to-point flights on small planes. Hence the company has shifted its focus to making small size planes. According to Bentrotts, the main aim of Boing is offering a flight services to the customers without major stop overs, effectively and have a simple and cost effective airplane to operate. Boing 787 focuses on a new design aircraft with light materials and two engines which are fuel efficient. Their main focus is on the passengers comfort by developing large windows, bend rooms, standing head rooms and higher humidity (Karimi. 2007)Boing and the Airbus have placed a million dollars investments in their market battle. A few years ago it was projected that the Airbus had won the market battle due to the large number of manufactured aircrafts and the large number of sales leading to big profit margins. This may not be the case since the Boing Company had invested heavily on technology to counter the

competition. The Boings Company has recorded the highest sales orders of the boing 787 totaling to 1,154 while Airbus has recorded a total of 317 aircraft orders by different airlines. The sales by the boing and the Airbus have drastically dropped by 51 percent. This has been attributed by the fail in the fuel prices for the past two years and the prevailing fear by the airliners that they may not be able to fill the large air craft and the drop in Emirates profit per year (Zahlan. 2016). This prompted the Airbus to cut the production on A380 to 24 planes per year and further to 8 plane per year by 2018. The company is looking for other markets in places where runways are congested like China and Japan. The cut in the production may be viewed by many as a sign of collapse of the A380 “super jumbo” program but the management stands on the ground that the program has a brighter future. Mr. Enders says that the production of 8 aircrafts per year would give the company more time to make the plane more attractive to the passengers.The Boeing 787 Dreamliner has the passenger capacity of 242 to 335 this is considerate for manyairlines. These aircrafts have been ordered at higher rate compared to Airbus A380. Airbus A380has a passenger capacity of 500 to 800. This is a great challenge and a fear for many airliners since they fear the risk of being unable to fill the aircraft leading to losses.

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