Free Custom «Boeing 787» Essay Paper

Free Custom «Boeing 787» Essay Paper

Generally speaking, the customers of the Boeing 787 are major commercial airlines that operate throughout the world. They include Aeroflot, Aeromexico, Air Berlin, Canada, Europa, India, China, New Zealand, Pacific, Kenya Airways, British Airways, Avianca, Arik Air, Vietnam Airline, United Airline, Singapore Airline, and Virgin Atlantic among others. Governments also constitute part of the customers.

The segmentation strategy being used by Boeing for its 787 model is geographic segmentation. The company believes that various regions do have different economic powers as well as growth in traffic. For this reason, Europe and North America will be always demanding more airlines. The company is also driven by the assumption that in Asia, airline traffic will grow by 6%. This kind of segmentation allows the company to determine the demand pattern of each geographic region. Additionally, it can work on probabilities vital in future planning of their company. For positioning, the company has factored in two main issues, distance and capacity (Norris & Wagner, 2009). As a result it has come up with the following; short distance and low capacity, short distance and high capacity, long distance and low capacity. The company’s target is limited as it only seeks to satisfy it current clients. Many of the target customers are short distance and low capacity airlines. Advertising is used as a strategy to target other customers. To measure the target of the company we just need to compare the existing orders.

Concerning customer-focused innovation, the company’s product is designed in a way that it consumes 20% less fuel; it is light, carries between 210 to 330 passengers. It is also constructed using composite material. The company through advertisement is seeking to expand its market, similarly, it plans to develop other model apart from 787-8, 3 and 9, it will be 787-10.

To further differentiate concept surrounding Boeing 787 it is important for the company to offer training and seminars to its customers. This will make the customers know of the feature that are existing in the current products. Similarly, since the company anticipates developing a new variant of Boeing, it will provide it with an opportunity to tell potential customers what they expect in the new variant thus preparing them psychologically. Provision of technical support not only in repairing and servicing will indeed help the company attract more new customers and keep the existing ones (Wei-Lun, 2008). Finally, since it is well known that prices are very sensitive in this industry, Boeing providing discounts and part exchange will be a great idea for it to capture more market especially from economies that are not yet very strong.

The weight, less fuels consumption, capacity, long distance, speed, price, the plan to provide service directly to customers, it system integration, orders placed by customers, admirable competency in running programs and the use of composite material in its constructions can be used to differentiate Boeing 787.

To establish how potential users of the company’s product, Boeing 787 need to conduct a survey which factor in demographic characteristics and their perceptions on a number of issues such as comfort, turbulence among others. Questionnaires and interviews will provide indebt details concerning how users of the company’s products reacted to the various positioning options of Boeing 787

According to Bharati & Chaudhury, 2006 three available options for Boeing to avoid future delays like the one experienced in 2007 to 2010 are; ensuring that the process of procuring needed parts are timely, adequately forecasting the quantity and quality of fasteners needed and to be in place on time and finally harmonizing the supply chain as well as having in place documentations for oversea suppliers.

Adoption of technology has been seen as what will help organization survive in this competitive business world. Boeing has quickly adopted technology in a manner that is unimaginable thanks to its strategies of education and training of its employees to be at per in terms of technology. For this reason, innovators within the company are slightly above what Roger suggested; early adopters and early majority constitute the largest position in the company. Late majority and laggards are indeed the fewest (Rogers, 1962).

Boeing has used a number of media to advertise and publicize its products. Among the media used include electronic communication-internet, institutional, mass media, signs, gadgets, moving communication and paper communication. Institutional communication is the most used by the company. Gadget and paper communication deem to be less effective.

To address the negative reaction of third party contractors, there is need for the company to hold close discussion with them and make them understand that there is still a chance for them to take part in their previous duty; it will not be rational for the company to fully terminate the contract. One major option is to still retain them and make sure that the change is smooth and not abrupt. Similarly, it can provide the contractor with other opportunities other than servicing.

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Boeing branding strategy is what has made a number of scholars state that using the term Dreamliner was indeed impressive. With this, the features of comfort space are deemed by the company to make passengers pay more for the services offered by the Dreamliner. Same-company co-branding can help the company promotes its new product. It can use other planes to publicize the new models. Joint venture co-branding is also another option, where the company can enter a sort of agreement with a bank for instance providing the customers with a flexible and cheaper ways of transacting between the company and the customers (Bharati & Chaudhury, 2006).

To penetrate market in developing countries, there is need for the company to factor in pricing as a strategy. Considering that the industry is very sensitive to prices, providing these markets with discount and lower prices as compared to countries were they have stronger economy can boost Boeing 787. Additionally, to target and entice other customers from these countries, carrying out intensive publicity and advertisement will be key. Lastly, Boeing also needs to change how it distributes the product for instance have distribution centers in these countries, provide transportation as well as adopt reverse logistics.

No single organization can make it to the realm without joining hands with the relevant stakeholders. For this case, customers, suppliers, distributors, (third party contractors, engineers) partners, competitors such as Airbus are relevant stakeholders that need to be factored by Boeing (Norris & Wagner, 2009).



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