EADS in America: The Competitive Strategies



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Code : COM0052

Year :
2005

Industry : Aircrafts and Ship Building

Region : USA

Teaching Note:Not Available

Structured Assignment :Not Available

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Introduction:EADS North America Inc. is the US subsidiary of EADS (European Aeronautic Defence and Space Company), the second largest aerospace and defence aircraft manufacturer in the world. EADS North America, since its formation in late 2003, has opened new aircraft manufacturing plants, partnering with US defence companies like Northrop Grumman and Raytheon apart from acquiring companies like Racal Instruments.

By the end of fiscal year 2004, EADS North America generated a total revenue of €8715 million, which was 27% of total revenue of EADS. EADS North America operates 12 companies that are located in 21 states of the US. EADS North America competes with global companies like Boeing and Lockheed Martin in fields of commercial aviation, defence, homeland security, helicopter, space and telecommunication in their domestic market. EADS that generates one-third of its revenues from Airbus, its commercial aircraft-manufacturing subsidiary, intends to expand its defence business in the US, the world's biggest defence market.

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