Boeing s Cooperate Strategy
Wenyan Liu
Individual Assignment #1
4/5/2015
MBC619 Corporate Strategy
Boeing Corporate-level Strategies
Analysis and Recommendation
Modified parts are underlined
Two main business units of Boeing are “Boeing commercial airplanes and Boeing defence, space & security, in which the products and modified services are based on providing commercial and military aircrafts, satellites, weapons, electronic and defence systems, launch systems, advanced information and communication systems, and performance-based logistics and training”(Boeing, 2013). “Boeing is also involved in exporting its products and services worldwide through its sub-divisions (i.e. Boeing Capital Corporation, Shared Services Group, and Boeing Engineering, Operations & Technology)”.
An ideal brand portfolio of business will help with balancing diversification’s cost and benefits. Recently, Boeing has to focus on the commercial plane business to support its weakening defense-business, and has developing a different level of corporate strategies and ways of carrying them out.
Corporate Level Strategy Approaches
According to Boeing 10k, Boeing commercial airplane revenue in 2014 was roughly $60 billion, while Boeing defense, space& security 2014 revenue was $30.9 billion, and which account for it total revenue, $90.8 billion in 2014, 66% and 34%. (Boeing, 2014)Since the commercial airplane division is successfully contributing around 66% in the total revenue and also increasing its market share in attracting new customers from all around the World (Stock Analysis on Net, 2012), Boeing’s dominant category is commercial aircraft and Boeing is in the dominate business approaches.
Since Boeing has outsourcing the design and the core technology of Dreamliner to about 50 suppliers, Boeing is also taking retrenchment strategy.
General strategies
Mergers and acquisitions
To maintain its long-term financial performance and its dominant category business, in past Boeing has been involved in
Individual Assignment #1
4/5/2015
MBC619 Corporate Strategy
Boeing Corporate-level Strategies
Analysis and Recommendation
Modified parts are underlined
Two main business units of Boeing are “Boeing commercial airplanes and Boeing defence, space & security, in which the products and modified services are based on providing commercial and military aircrafts, satellites, weapons, electronic and defence systems, launch systems, advanced information and communication systems, and performance-based logistics and training”(Boeing, 2013). “Boeing is also involved in exporting its products and services worldwide through its sub-divisions (i.e. Boeing Capital Corporation, Shared Services Group, and Boeing Engineering, Operations & Technology)”.
An ideal brand portfolio of business will help with balancing diversification’s cost and benefits. Recently, Boeing has to focus on the commercial plane business to support its weakening defense-business, and has developing a different level of corporate strategies and ways of carrying them out.
Corporate Level Strategy Approaches
According to Boeing 10k, Boeing commercial airplane revenue in 2014 was roughly $60 billion, while Boeing defense, space& security 2014 revenue was $30.9 billion, and which account for it total revenue, $90.8 billion in 2014, 66% and 34%. (Boeing, 2014)Since the commercial airplane division is successfully contributing around 66% in the total revenue and also increasing its market share in attracting new customers from all around the World (Stock Analysis on Net, 2012), Boeing’s dominant category is commercial aircraft and Boeing is in the dominate business approaches.
Since Boeing has outsourcing the design and the core technology of Dreamliner to about 50 suppliers, Boeing is also taking retrenchment strategy.
General strategies
Mergers and acquisitions
To maintain its long-term financial performance and its dominant category business, in past Boeing has been involved in