Boeing management essay

William E. Boeing is an entrepreneur who initially worked in the timber industry. She accumulated wealth and knowledge which made him start the aircraft company. With the intention of expanding the product range, the company established Boeing Air Transport in 1927. Later on in 1933, the Boeing 247 was established (Eckley, 1991).

Boeing 247 created competition in the market since it was the first two engine passenger aeroplane that could fly on one engine. In 1934 the company was split into three following a regulation by the federal government prohibiting a single company from operating an airline and manufacturing aircrafts at the same time.

Airbus has increased its competitive advantage by marketing its products strategically and in the year 2000s the company has overtaken Boeing in most of its activities (Drejer, 2002). Product differentiation is a strategy being employed by the two companies to create a competitive advantage.

Innovation is the process of implementing new ideas (Drucker, 1995). Innovation has enabled the Boeing and Airbus companies develop products which attract very high demand in the market. Most of the products have been developed by a team of experts who have the required knowledge.