Boeing Co Chief Executive Dave Calhoun is currently facing a multi-billion dollar dilemma as the aircraft-making giant struggles on how to rebuild sales due to the safety scandal that it faces since the crashes of its 737 MAX airliner and the significant collapse of the air travel demand due to the pandemic.
According to sources who spoke on condition of anonymity, the current issues that the aerospace giant has been facing prompted an internal debate that placed the future of the company in jeopardy.
After the lengthy grounding of Boeing’s 737 MAX airliner, analysts and experts said that the company’s share of the single-aisle jetliner market has plummeted from 50 percent a decade ago to nearly 35 percent.
Boeing’s single-aisle jetliner has been competing in a global duopoly with rival Airbus.
However, with its current problems, Boeing’s largest MAX variants struggled to compete with Airbus’ single-aisle A321neo as it accumulated billions of dollars of orders in a recently booming segment of the market.
Boeing is aware that it could develop deeper and longer-term risks to the company’s commercial passenger jet business if it would not be able to have a new addition to its portfolio, but it is not yet ready to settle on a plan to develop a new plane to counter the A321neo.
“I’m confident that over a longer period of time, we’ll get back to where we need to get to and I’m confident in the product line,” Calhoun said in a press release.
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