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Airbus Analysis

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Airbus Analysis
Strategic Management

Airbus Analysis

Executive Summary

The goal of the following report is to provide a detailed analysis of Airbus using the following analytical tools: PESTEL, Stakeholder, SWOT, Porters Five Forces, VRINE, and Porters model of competitive advantage. In this report I will describe how each analysis supports the decisions of Airbus and helps identify any problems or issues facing Airbus based on the outcome of each analysis. This report will show that the analytical tools used will support Airbus’s direction and their growth in the aerospace industry, and their mission of competing against Boeing for more global market share.

Introduction

Airbus was created as an attempt to combat Boeing and the American dominance in the airline industry. A consortium of European governments provided the financial backing necessary to start the company. Airbus has manufacturing plants throughout Europe with each providing their expertise to the manufacturing process. With a workforce of 45,000 employees a lean and productive manufacturing process, Airbus has positioned itself to take on Boeing as the market leader.

Airbus History

Airbus began back in 1960’s when French, German and British governments announce plans to build a European aircraft. The aim of this group is to combat the American dominance in the aviation industry (Airbus.com). Eventually in 1967 Britain quit the project due to differences with French and Germany, and in 1971 Spain joined.

Airbus first produced the A-300 a wide body twin jet engine plane with a capacity of 226 passengers, and then the A-300-B2 with a capacity of 250 (Carpenter, M. A., & Sanders pg. 613). These two models allowed Airbus to receive their first large orders and helped them achieve a market share of 10% by 1975. These models and the introduction of the A-310 helped Airbus achieve a market share of 26% by 1978. In 1979 the British rejoined the

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