Boeing Analysis - Case Study Example

c. Technical Factor i. New technology Boeing announced last November its commitment of adding improved capabilities to its technology for the US Air Force's Operational Control Segment(OCS) satellite control system which will enable it to enhance the performance of its new GPS IIF satellites and the current GPS constellation.i The use of new technologies allows Boeing to add features to its new products which boost demand from customers opting for better products.Through rapid technological development enable the business organization to enhance its efficiency in the production of its products.

It should be noted that being a capital-intensive operation, Boeing's technological improvement will enable it to allocate fixed resources more efficiently. Better technologies allow the creation of higher quality aircrafts, less wastage in production, and possibly less labor requirements. An example of this is the exploratory technology developed by Boeing and Chorus Motors in 2005 which made a more efficient way of moving airplanes when they are on the ground at airports. ii New technology is hard to develop as it requires huge investment in financial and labor resources.

The airline industry should allocate amounts for research and development in order to reap new technology's benefits. The development of new technology is like taking risk as the industry or company is not certain of the outcome. Technological obsolescence requires companies to find the best technology possible in order to cope with competition.