An Examination of Boeing Operations in Two Different Countries Today

Today, the Boeing Company (hereinafter alternatively Boeing or the company) is the largest manufacturer of commercial jetliners, defense systems, security and space systems in the world, as well as a leading service provider in the aftermarket support industry. Despite the grounding of its 737 Max jetliner fleet following two deadly crashes in 2018, the company has succeeded in remedying the casual problems and its global market share continues to grow. To determine how Boeing competes in different markets, the purpose of this paper is to provide an examination of the companys business operations in the United States and South Africa. To this end, an overview of the company and an analyses of Boeings commercial operations in the United States and South Africa. In addition, a discussion of the results of these analyses is followed by a summary of the research and important findings concerning the companys current and future outlook in the papers conclusion.

Overview of The Boeing Company and Analysis of Its Domestic Operations

Currently headquartered in Chicago, Boeing was originally founded in Seattle on July 15, 1916 by an American timber merchant, William E. Boeing (Boeing profile, 2021). At present, Boeings domestic operations account for nearly 30% of its total global revenues (Global focus, 2021). Although Boeings operations in the United States have historically included a major focus on aerospace-related research and development, the company has also maintained a firm commitment to develop sustainable relationships with its domestic strategic supply chain partners domestically and abroad (Boeing Company SWOT analysis, 2021). The companys commercial operations in the United States are depicted graphically in Figure 1 below.

Figure 1. Boeing locations in the United States

Source: Boeing headquarters and office locations, 2021

The company currently manufactures and markets a dizzying array of aerospace-related products in the United States, including commercial and military aircraft, state-of-the-art weaponry, communications satellites and sophisticated defense networks as well as information and communication systems (Boeing profile, 2021). Beyond the foregoing offerings, Boeing also provides numerous other cutting-edge defense systems such as tilt-rotor and conventional rotary and fixed-wing aircraft, rotorcrafts, tanker aircraft and anti-submarine aircraft as well as various types of military attack aircraft (Boeing Company SWOT analysis, 2021). Furthermore, the company also provides a wide range of services for the public and private sectors in the U.S., including logistics support, maintenance, performance-based training and associated support services (Boeing Company SWOT analysis, 2021).

A record-breaking 2.2 million people flew over this Fourth of July weekend. Thats not only the most of any weekend since the start of the pandemic, but some 12,000 more than the same weekend in 2019. The crush of travelers was so intense, both on the roads and in the skies, that it led to skyrocketing fuel prices, rental car shortages and widespread flight disruptions (Moon, 2021). Lean offers Boeing an all-inclusive approach in managing the value-stream of a company. It further presents a sustainable business model that prioritizes customer and industry demands, births innovative ways of satisfying them and keeps Boeing in business (Ageyman, 2021).

It is important to point out, though, that many of the products and services that are offered by Boeing are not limited to the United States and there is significant overlap between the companys domestic and global operations since these offerings are marketed worldwide. In addition, the company has also continuously expanded its global presence since its founding based on the products and services that were first developed in the U.S. While the companys operations in other countries also feature many of the above-described military and commercial offerings, Boeings commercial...

…2021). For example, for fiscal year (FY) 2020 (ended December 2020), the company posted revenues of $58,656 million, representing a significant decline of 30.8% compared to FY2019; however, by the first quarter FY2021 (ended March 2021), Boeing reported revenues of $15,217 million, representing a much more modest decline of just 3.7% compared to the previous years first quarter (The Boeing Company SWOT analysis, 2021). At present, most industry analysts indicate that the company is well poised to return to its pre-737 Max crash and pre-pandemic revenue levels in the foreseeable future (Welch, 2021). Indeed, this positive projection was borne out by the crush of holiday travelers in the United States over the recent Independence Day holiday weekend when record numbers of air travelers crowded the nations airports despite the ongoing threat from Covid-19 and its variants (Moon, 2021).

Conclusion

The research showed that Boeing is a major multinational corporation that competes in the aerospace industry, providing numerous technologically advanced aircraft and information systems for the public and private sectors in more than 150 countries around the world today. During its century-long existence, Boeing has remained in the vanguard of aviation companies through ongoing research and development efforts that have fundamentally changed the manner in which wars are waged and commercial flight operations are managed. The research was also consistent in showing that Boeings operations in the United States include a wide array of products and services that are used in other countries, including South Africa. An especially noteworthy finding in this regard though was that Boeings operations in South Africa do not resemble a mini-Boeing but are rather focused on identifying opportunities to use the nations natural and human capital resources in the most effective ways possible, including the development of biofuels that can be used by jet aircraft. In the final analysis…