The chapter starts with the history of mergers of aircraft manufacturers in US and Europe, leading to the duopoly of Airbus and Boeing as leading players worldwide. Their product portfolio seems to be fairly identical, which is good for market competition but could also be a sign of reducing innovation and risk. Several smaller aircraft manufacturers are preparing to challenge this duopoly and are preparing their entrance into this jet airliner market. The aircraft development process is characterized, showing the long-term aspect of a new aircraft development program and the involved risks. Cost breakeven will normally not be achieved before 12–15 years. The industrial organization with the role of engine manufacturers, supply chain and the complex work breakdown structure is outlined. The cash flow principle is shown, which helps to understand major risk factors during the development of a new aircraft type. The importance of family and commonality aspects is introduced, leading to major cost savings for the operator.
Aircraft Manufacturer
Air Transport System ; Chapter : 6 ; 157-186
2015-10-07
30 pages
Article/Chapter (Book)
Electronic Resource
English
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