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The worldwide market for commercial jet aircraft is primarily dependent on long-term trends in airline passenger traffic. And this trend can be explained by factors such as economic growth in developed and emerging markets along with political stability. First, there are limitations in air transport infrastructure such as government and environmental regulations and air traffic control. Second, because demand for aircraft is highly volatile, long run planning becomes difficult and raises the risks involved in …

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…must be fought on pricing and financing. It is therefore key for Boeing to improve its productivity and achieve the lowest possible cost structure and flexibility to beat Airbus, despite its being subsidized. It must also take the initiative to be first on the market with innovative and technological advanced products. By accomplishing these, Boeing will be able to compete with Airbusís subsidies and hold on, if not gain, its market share. ------------------------------------------------------------------------ **Bibliography**