Turbulent Times for Aircraft Manufactures
It is no secret to the U.S population that aircraft manufactures are having a rough time staying in the air let alone in business all together. It is reported that in May there was a 22.7% drop in aircraft manufacturing. However, aircraft manufactures are not the only ones feeling the pressure to sell products. Heavy manufactures and metal are all feeling the squeeze to sell their products. Looking at it from the aircraft manufactures if they can not sell plans to companies it is no wonder that metal and heavy manufactures are suffering as well, saying that aircraft constructions uses both of these business in order to produce their own product. The aircraft manufacturing industry is starting a ripple effect that is branching out to other industries. What could possible help save these companies? A higher demand in air plans, let alone want/need to travel by plane or something else?
3 comments:
Well, maybe there is now a substitute to American planes. American plane makers may be suffering, but the Toulouse, France based Airbus company is doing very well. It is set to break its 2005 record of orders in 2007. After the Paris Air Show, the company has boosted its image. This European company is now breaking into Asian markets. After the show, Airbus announced a total of 339 Airbus orders. This is a value of over 45.7 billion dollars US. One can find all this information at http://www.airbus.com/en/myairbus/headlinenews/index.jsp.
Well as far as the heavy manufacturers and metal producers, one article I read was talking about how many airliners are going to start using a mix of a carbon-fiber composite material in addition to aluminum. It is stronger and lighter than aluminum, which will help cut back on fuel usage. So those companies may have to seek out another product to supply, or find a new market for their goods--because airliners may not be using them as much anymore.
[This comment is by Chunzi.]
I think that these companies can lower their price on their product within the bottom line they can accept; or they can do other business as well---not really must be in producing aircrafts but other heavy metal products such as equipments or parts for cars, trains, ships…etc. Or they can specialize their products differ from other products; or they can improve their technology about aircrafts products.
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