Business Case Studies, Competitive Strategies Case Study, Airbus vs Boeing,Contrasting Views for the Future

print page
Tell A Friend

Case Categories

Share |

Competitive Strategies Case Study

Case Title:

Airbus vs Boeing - Contrasting Views for the Futur

Publication Year : 2006

Authors: Supratim Majumdar, Bitan Chakraborty

Industry: Aircrafts and Ship Building


Case Code: COM0159K

Teaching Note: Not Available

Structured Assignment: Not Available

Buy This Case Study

Since its inception, Boeing had been enjoying a virtual monopoly in the commercial aircraft industry, but was threatened by the advent of the European aerospace company, 'Airbus S.A.S.’ (Airbus), in 1970. Since then, Airbus gradually achieved a leadership position in the market by dint of its innovative technologies and government funding. For the first time in 2003, Airbus became the world's largest manufacturer of commercial aircrafts. The competition among the two companies, attained a new dimension in 2000, when Airbus announced the development of the world's biggest passenger plane - the A380. Airbus touted the A380 as the future of commercial aviation, as it envisaged a huge demand for larger aircrafts. In contrast, Boeing asserted, that smaller and faster aircrafts would rule the market. In keeping with this, Boeing announced its plans to develop the 7E7 Dreamliner. Analysts felt that if the A380 failed, it would become a burden as Airbus had invested billion dollars on this model. This case study offers a discussion on the factors that have driven Boeing and Airbus to adopt different strategies and whether Airbus would proceed with the huge investment, amidst the uncertainty in long-term demand. The case provides a detailed account of the structure of the commercial aircraft industry and the prevalent nature of competition.

Pedagogical Objectives:

  • To understand the structure and competitive forces of commercial aviation industry
  • To analyse the factors and elements of competitive strategy adopted by Boeing and Airbus
  • To form and analyse SWOT of both the companies
  • To form investment pay off matrix for Airbus.

Keywords : Airbus; Boeing; Competitive Strategies Case Study; A380 super-jumbos; 7E7 Dreamliner; Launch aid; Rise of Airbus; Two divergent philosophies; Commercial aircraft manufacturing; Airlines

Contents : 
Jumbos To Super Jumbos
Airbus: The Genesis
Contrasting Views
A Risky Proposition
Pictorial Comparison Of Boeing 747 & Airbus A380

Recently Bought Case Studies

    Recently Bought Case Studies

    Executive Interviews

  • Jeffrey M CohnJeffrey M Cohn

    Director of Research at Chief Executive Leadership Institute (now at Yale); and a Director at the Law & Economics Consulting Group.
    Speaks on Talent Management
  • Prof. Reuben AbhrahamProf. Reuben Abhraham

    Professor & Director of EMSI, Indian School of Business
    Speaks on Bottom of the Pyramid
  • Dr. Allan R CohenDr. Allan R Cohen

    Edward A Madden Distinguished Professor of Global Leadership at Babson College
    Speaks on Staying on Top, Always
  • View All Executive Interviews»

Contact us: IBS Case Development Centre, Survey No. 156/157, Dontanapalli Village, Shankerpalli Mandal, Ranga Reddy District, Hyderabad-501203, Telangana, INDIA,, Fax: 08147-236653,E-mail:

©2003-2010 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap