The fanfare surrounding Airbus' new superjumbo A380 -- the largest commercial airliner in the world -- has thrust the aircraft maker centrestage after more than 30 years in the shadow of arch-rival Boeing.
The new plane has managed to generate a level of public excitement not seen since the launch of Concorde or the original jumbo, Boeing's 747. The maiden flight of the A380 earlier this year followed some golden years for Airbus, outselling Boeing for the first time in 2001, and managing to maintain its lead ever since.
The new plane has managed to generate a level of public excitement not seen since the launch of Concorde or the original jumbo, Boeing's 747. The maiden flight of the A380 earlier this year followed some golden years for Airbus, outselling Boeing for the first time in 2001, and managing to maintain its lead ever since.
The European firm should be flying high, producing not just a headline-grabbing testament to its innovative and technological prowess, but also a long-awaited response to Boeing's 747, which had given Airbus' US rival both a monopoly in super-sized aircraft and a world-famous brand.
However, having grabbed the limelight, Airbus has had to weather a storm of bad publicity, with delivery delays of its flagship superjumbo prompting carriers who have ordered the new plane, including Singapore Airlines and Qantas, to demand compensation.
Furthermore, a management struggle has left a power vacuum at the top at a time when Airbus is em-broiled in a trade dispute with the US. Meanwhile, Boeing looks like it may overtake Airbus again in commercial plane sales this year. It has also been aggressively marketing its new plane, the 787 Dreamliner, focusing on the increased comfort it gives passengers, a key consideration for the flying public.
Airbus and Boeing are engaged in a bitter contest, battling it out in a tough market burdened with many fixed costs, where the slightest gain can lead to a significant advantage. However, Airbus is by no means alone in its woes, as Boeing, with a former CFO behind bars, can testify.
At a time when its new superjumbo should be winging its way through Asian skies rather than grounded in the hanger, Airbus, the challenger brand that has achieved its goal, must be careful it doesn't squander its hard-won lead.