Business Development: SWOT Analysis of Boeing Company - Report

This report provides a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of the Boeing Company. The analysis begins with an overview of Boeing's global presence and its core business of designing and manufacturing aircraft, satellites, and defense systems. The strengths highlighted include its strong market share, global recognition, and focus on research and development. The weaknesses include declining profit margins, high leverage, and dependence on specific markets. The opportunities section focuses on the company’s ability to capitalize on the growing global demand for aircraft and expansion in the US defense sector. The threats include rising costs, market competition, and dependence on the US government. The report concludes with recommendations for Boeing to leverage its strengths and mitigate its weaknesses to achieve sustainable growth. The recommendations include the adoption of automated technologies, diversification of suppliers, and ethical business practices. The report uses information from various sources, including Boeing's website, financial publications, and industry analysis reports.

SWOT Analysis of
Boeing Company

Introduction
 The SWOT analysis of Boeing company will provide
information of its current position in the aircraft industry.
Boeing is one of the world’s largest Aircraft designing &
manufacturing company( Boeing, 2020).
The company manufactures Airplanes, Satellites, Rockets,
Defence & Security system.
 Boeing was founded by William Boeing in 1916.

Strength
 The company is recognized globally and have high market
share.
It grows itself through acquisitions(Hellman, 2013).
 It focuses mainly on Research and Development that helps
in the growth of the company.
 It realign itself for expansion and growth in the new
market.

Weaknesses of the Company
 It is declining in its margins and profits(Flight
global, 2019).
 It is highly leveraged
 Having low performance of business divisions
 Dependence in its defense mechanism on U.S.

Opportunity for the Company
 Aircraft demand with global outlook of
company(Boeing, 2020).
 Move to the US defense for its better
development.

Threat of the Company
 Increase in the aluminum and titanium prices.
 Increase in fuel prices.
 Heavy competition in the market.
 Dependency on the contracts with US government.
 Boeing’s staff union(Hill, 2020).
 Regulations of the Environment

Recommendation
 Adoption of automated technologies that can reduce
labour issues.
 More than one supplier for integrated components
should be involved to reduce the bargaining power of the
suppliers.
 Dependency on a single government body can be
reduced by serving several other bodies.

 The performance of defense service and space
system can be improved by finding, analyzing and
revising current strategy of the company.
 The company must practice business ethics to
ensure company’s reputation.

Conclusion
The company has its operations in more than 65 countries
and customers in more than 150 countries.
Boeing’s main strength lies in its presence in global
market and its strong network.
It has a strong foundation that can help to deal with
competitive threats and to reduce its weaknesses.

References
Boeing. (2020, January 1). Boeing. Retrieved from Boeing
corporation website: https://www.boeing.com/company/general-info/
Boeing. (2020, January 1). Commercial Market Outlook 2019 –
2038. Retrieved from Boeing:
https://www.boeing.com/commercial/market/commercial-market-
outlook/
Flight global. (2019, October 24). Why Boeing faces 'worst crisis' in
its history. Retrieved from Flight global:
https://www.flightglobal.com/analysis/why-boeing-faces-worst-
crisis-in-its-history/135000.article

Hellman, J. (2013, December 3). The Boeing Company: A Short
SWOT Analysis. Retrieved from Value line:
https://www.valueline.com/Stocks/Highlights/The_Boeing_Co
mpany__A_Short_SWOT_Analysis.aspx#.Xpsr24gzbcc
Hill, A. (2020, March 16). Boeing shows the danger of ignoring
fearful staff. Retrieved from Financial times:
https://www.ft.com/content/01d79f38-6503-11ea-a6cd-
df28cc3c6a68