Embraer's Future Strategy

In: Business and Management

Submitted By Shahad1019
Words 620
Pages 3
An analysis will be conducted to suggest a strategic plan that Embraer would pursue over the next three to five years. The analysis will identify the competitive positions that Embraer has in the aircraft industry as well as identify the three major rivals listing their strengths and weaknesses. The analysis will also include the successful strategies that Embraer used to compete against its more established rivals. The analysis will be of assistance in understanding the reasoning for the suggested strategy. Following an approval of the strategy, a detailed strategy plan will be provided to you by the assigned deadline.

Using Porter’s diamond of national competitiveness to provide a convenient way to analyze the potential reasons for Embraer’s success, we verified that human resources and people with education and knowledge are factor conditions of the diamond. Most of the hired engineers have been students in the Aeronautical Technological Institute (ITA). The government Aviation schools provided a great overall national competitive advantage. As for the supportive institutional framework, the government had a roll in funding Embraer in its early days. As well, Aeronautical Technology Center (CTA) and Aeronautical Technological Institute (ITA) created a supreme opportunity for the company. Embraer took advantage of the untapped demand for regional airlines; and this covers the demand factors of the diamond. As for the local competitive intensity, Embraer did not face national competitiveness due to the level of involvement of the government. However, internationally, the three major rivals in the aircraft industry are Bombardier, Boeing, and Airbus.
• Weakness: Credit rating is junk status.
• Strengths: Great support from the Canadian government to replace the thousands of jobs that had been lost. In exchange, the CSeries manufacturing…...

Similar Documents

The Development and Future Strategy of Ryanair

...The development and future strategy of Ryanair Ryanair became in 2009 the airline company which carry the most passengers in Europe. That is the result of its strategy which is based on a ‘no frills’ service in order to offer the lower prices. The business model of Ryanair is different from the classic carriers’ in the way that 20% of its revenue is generated from ancillary revenue, such as its “buy on board” program or extra fees for luggage. As we have seen above, the airline industry is very dynamic, and the apparition of alliances within the market forces Ryanair to stay competitive in its environment. Until now, the company did it very well by being emergent, its flexible structure and culture allowed Ryanair to be the number one on its market. To keep this place, Ryanair needs to adapt itself by choosing a development strategy. For that, there are different directions that Ryanair might take. Development opportunities “In a decade or so, airlines will pay the travellers to distribute people around Europe” Michael O’Leary, the Ryanair’s CEO summarizes the future direction of its company with this sentence. Therefore, Ryanair has to continue to find innovative cut reduction methods, as well as innovative revenue generation methods. In order to remain competitive with its business model, Ryanair will need to have the largest amount of routes in Europe and the lowest fare. It is now clear that there is only room for one or two major actors in the low-cost airline...

Words: 1351 - Pages: 6


...Playing Hide and Seek with My Future Dreaming can take you to wonderful places. At least that was what my father told me. Eight years ago, while I sat in my room, chin on my folded up knees, I asked myself what exactly I wanted to be when I grew up. As usual, my brain came up with billions of seemingly brilliant ideas; I could be a journalist, or better yet a news host, I could be an actor, or maybe even a politician, I could be a business woman, or I could just be the doctor my parents wanted me to be. Everything came to a screeching halt. A doctor; it is what almost every parent wants for their child. They would have knowledge that their child could save people’s lives, would be making money that could help those without healthcare, and even have the status of an intelligent individual who has done well for themselves; the doctor that would be the pride of the family. Nine year-old me breathed out a sigh. All the things I wanted to become, all the things I wanted to do, none of them seemed conceivable, or rather, none of them seemed conceivable to my dad. A doctor was what he wanted me to be; and a doctor was what I didn’t want to be. Having high hopes for his children wasn’t wrong of my dad. I understood that he had dreams once too. He never talked about his life before coming to America and even after putting together all the pieces, all the hints, I only came up with the bare minimum, if even that. Dad lost both his parents while growing up in the country sides...

Words: 1171 - Pages: 5

The Future of It

...One area that stands out from the rest that will revolutionize organizations from an Information Technology perspective will be the use of software-defined networks or software-based networks will be used in the near future. As network infrastructures become more and more complex we will have the need to better manage the infrastructure as well. The software-based networks will be created to manage the large heterogeneous equipment that make of the infrastructure in the environment. In essence the network infrastructure will be managed by software, another way of looking at this is the network infrastructure will have an operating system to manage the resources similar to a desktop operating system manages a local systems resources today. For example with the software you will have the ability manage and program the routers and switches within your environment without accessing the components in question directly to program or manage them (Linke, 2012). This is completed by utilizing the software-defined network to separate the router and switches from their hardware and to be programmed and managed by a software-defined network controller (Linke, 2012). The shift to the environment by utilizing a software-defined network will impact the network infrastructure area moving forward by having much more granular control and management of the network devices that make up the enterprise network infrastructure. Let’s discuss the details of how the software-defined network......

Words: 1515 - Pages: 7

How a New Strategy Saved and Created a Bright Future for Ibm in 90s.

...From: Ming-Tzu Chou Date: 13 February 2012 Subject: Management control system Proposed Research Topic: How a new strategy saved and created a bright future for IBM in 90s. Statement of problem: In the early 1990s, IBM suffered in dramatically declining in the revenue of the mainframe sales, and the stock price also dropped. During the period, the personal computer was the most popular products in Information Technology market, and the mainframe was already outdated. Last but not least, IBM could not reduce its cost according to its size and bureaucracy. As a result, many people believed that IBM could only fell or be divided to smaller companies. Louis V. Gerstner, Jr., who was the new CEO, saved IBM and implemented different strategies in the company. Objective & Method: The purpose of the study is to evaluate how a new strategy affected IBM. Except the abstract, the term project will be separated to four parts: problem statement, strategy formulation and strategy planning of solutions, the summary of results, and recommendations. The term project should reach the following goals through in the four sections. 1. Problem statement will describe IBM’s previous business situation and introduce how problems had generated before Gerstner arrived. 2. The solutions from Gerstner will be deeply analyzed according to the theories from strategy formulation and strategy planning in the textbook. 3. The summary of results will be presented after IBM transferred. 4. The......

Words: 319 - Pages: 2

The Future

...greed and division of man. This piece was my interpretation of our present dilemma our SODOM AND GOMORRAH, “which is not going to be destroyed by fire and brim stone”, our possible destruction is very different. Our era in this drama seems to be so dire and grave to us, yet if we were to possibly use wisdom, we may miss the pitfall all together. The wisdom of learning from the past, of individually taking control, making a change and not relying on the powers that be, is one strategy. “Makes me wonder if all the wisdom was given to King Solomon and none left for us”, but even he faltered. So then it begs to say is there any purpose, reason or hope. Do we just literally exist and go round on a cog wheel of time. Without straying too far from the point, there is allot of room left for speculation as to whether some of these conspiracy ideas are true. Were we just put here and are aimlessly wondering this planet. While I was doing this piece it brought up allot of question about the past, future, who we are, why we are here? How our world/universe came to be? Is this all about balance and not right or wrong? TECHNOLOGY seems to be our vice, we are moving very rapidly towards an I.ROBOT society where we become so reliant on technology, we become the vegetable scientist of the past predicted. We no longer seem to live in natural time and with nature. The sculpture is a representation of the state we are partially in and on our way to. The robot is to encompass......

Words: 1445 - Pages: 6

The Future

...The Future -Social and cultural changes in human values and norms of behavior in businesses I think that first of all what we call a future could be happening in the next coming years or decades, since new types of technology and crazy touch-screen or laser objects are being used every day in our daily lives, even worst by children about 5 or 6 years old. Technology is not the only thing that has changed and is changing every day, something that we should really worry about is our own human values. This is our own social and cultural values, everything we have had since the moment we are born and also our norms in daily business that have been established year and years ago based on errors and important historical events, and by important business man and multinationals that had gave us the opportunity to experience what we are experiencing today. To answer the million dollar question we need to break it down into two separate parts; social and cultural changes; and norms of behavior in the world of business. The question is how these two factors will change in the future and how businesses will be done by that time. First, we need to determine our social and cultural values and those can be referred or seen as our ethical actions, and are our base of integrity in society. The way we think, act, behave, from a greeting to an interview or negotiation, these values or personal beliefs are definitely changing and even becoming extinct. Our values is the most fundamental......

Words: 1189 - Pages: 5


...What is the difference between forward and futures contracts? Fundamentally, forward and futures contracts have the same function: both types of contracts allow people to buy or sell a specific type of asset at a specific time at a given price. However, it is in the specific details that these contracts differ. First of all, futures contracts are exchangetraded and, therefore, are standardized contracts. Forward contracts, on the other hand, are private agreements between two parties and are not as rigid in their stated terms and conditions. Because forward contracts are private agreements, there is always a chance that a party may default on its side of the agreement. Futures contracts have clearing houses that guarantee the transactions, which drastically lowers the probability of default to almost never. Secondly, the specific details concerning settlement and delivery are quite distinct. For forward contracts, settlement of the contract occurs at the end of the contract. Futures contracts are marked-to-market daily, which means that daily changes are settled day by day until the end of the contract. Furthermore, settlement for futures contracts can occur over a range of dates. Forward contracts, on the other hand, only possess one settlement date. Lastly, because futures contracts are quite frequently employed by speculators, who bet on the direction in which an asset's price will move, they are usually closed out prior to maturity and delivery usually never happens. On......

Words: 274 - Pages: 2

The Development and Future Strategy of Ryanair

...plan implemented some time in the future. So, get the plan completed and in to action as soon as is practicable. Also, plans must be adaptive to changing circumstances. If the plan is not performing be prepared to complete 'major surgery' on it. Some Thoughts on a Format for Each Section The following is a simple, but effective planning format that will fit many of the sections in this plan. The format is not rigid and should be adapted to the requirements of individual Sections as applicable. The four sub-sections that comprise the format are as follows: • Current Situation Clearly and concisely present the current situation with any contributing history, and any trends, cycles, changes or future developments that are relevant • Key Issues Clearly define the most urgent and important issues as they relate to the current situation for this Section, and the overall purpose of this plan and the company's Mission. Key issues are usually those strengths, weaknesses, opportunities, threats, capability gaps and impediments that impact on business performance Strategies to Address the Key Issues Formulate strategies using the SMAAART acronym to address the key issues. SMAAART - Specific, Measurable, Action-orientated, Achievable, Affordable, Relevant and Time-bound • Key Performance Measures and Targets Establish key performance measures/indicators, performance targets and time lines in conjunction with the strategies to assess and improve......

Words: 3772 - Pages: 16


...A Commitment to the Future World Leaders Visual Literacy Shermanda Harris Ashford University December 16, 2013 A Commitment to the Future World Leaders The children of our future, needs a good push in the right direction to help in obtaining a bright and endeavoring future. As adults giving the children a starting point to help make the future world a better place, is a job. Starting at an early age Parents, schools and coaches working together to achieve the goal set forth takes hard work and sacrifice. Learning to be a team is the key to making a difference in childrens lives. Children look to adults to lead them in the right direction. Showing that working as a team will help to meet and exceede any goal that is set or given to achieve. To succeed as a team the following is needed: 1. Unified Goal 2. Willing to listen 3. Take chances 4. Commitment to working hard 5. Full cooperation from everyone involved Use the time that's given to teach children all the fundamentals of the sport and allow the decisions made on the field to show how they respond to what's taught. FUNDAMENTALS IS THE FOUNDATION and the to success. The task given is to become star athletes on and off the field. How can this be done? Given the opportunity and the chance it can happen. Incorporating listening skills to help gather information from students/players to find out what skills are known and build on that. As adults, everything is not known. Children can......

Words: 675 - Pages: 3


...Future of nuclear energy, what countries use it most, other uses for nuclear energy (bombs) Future of nuclear energy: Increasing energy demand, plus concerns over climate change, dependence on overseas supplies of fossil fuels and the security of supply are coinciding to make the case for increasing use of nuclear power. Nuclear energy is the perfect way for the demands of electricity. It seems that Nuclear energy will become a much bigger source of energy in the future, many countries such as India and China are planning on building many nuclear power plants. China is embarking upon a huge increase in nuclear capacity to 58 GWe( Gigawatts of electricity) by 2020; India's target is to add 20 to 30 new reactors by 2030. A WNA projection shows at least 1100 GWe of nuclear capacity by 2060, and possibly up to 3500 GWe, compared with 373 GWe today. Countries that use it most: Most of the increased capacity (over 80%) will be in countries which already use nuclear power. Currently there are 436 Nuclear reactors in the world, and 73 under construction. Of the thirty countries in which nuclear power plants operate, only France, Belgium and Slovakia use them as the primary source of electricity. United States has 104 Nuclear reactors, and 5 under construction, France has 58 Nuclear reactors, and 1 under construction, Russia has 33 Nuclear reactors, and 10 under construction, Japan had 54 Nuclear reactors however after Fukushima Japan shut down all of its 54 nuclear......

Words: 715 - Pages: 3

Futures Arbitrage Strategies End-of-Chapter Questions and Problems

...CHAPTER 10: FUTURES ARBITRAGE STRATEGIES END-OF-CHAPTER QUESTIONS AND PROBLEMS 1. (Delivery Options) The U.S. Treasury bond futures contract contains several imbedded options. First, the wild card option results from a difference in the closing times of the spot and futures markets. The Treasury bond futures contract stops trading at 3:00 P.M. Eastern time. The spot market for Treasury bonds operates until 5:00 P.M. Eastern time. The wild card option is the opportunity the holder of the short futures contract has to lock in the invoice price at 3:00 P.M. and make delivery if the spot price falls below the established invoice price between 3:00 P.M. and 5:00 P.M. The option exists only during the delivery month. Second, the holder of the short position has the right to deliver any of a number of acceptable bonds, known as the quality or switching option. Sometimes the holder of the short position will be holding a bond that is not the best to deliver. A profit is sometimes possible by switching to another bond. Third, because the last day for trading a T-bond futures contract is the eighth-to-last business day of the delivery month and delivery can take place during the remaining business days, there is an end-of-the-month option. The invoice price during those final delivery days is based on the settlement price on the last trading day. Thus, during the last seven delivery days, the holder of the short position has full knowledge of the price that would be received for......

Words: 3756 - Pages: 16

Facebook Future Strategy

...platform that reaches over a billion people. Facebook has been successful driving revenue by developing algorithms and application programming interfaces. These revenue drivers turned their social networking platform into an advertising tool, connecting third-party businesses to quality consumers. Although Facebook’s user base and revenue are growing at very rapid rate, there is concern with their future strategy. This paper addresses that concern and the doubt that the revenue streams the company has developed will be sustainable in the long-term. Examining Facebook’s history, competition, financials and target markets will reveal a direction for the future. Recommendations are made for a long-term strategy to diversify revenue streams and maintain year over year growth in profitability through: global markets, emerging technologies and integration. Keywords: Facebook, social networking, technology, advertising, data, Internet user, global market, application development, mobile, beacon Analysis of Facebook to Develop a Business Strategy Maintaining Revenue Growth in the Future Mark Zuckerberg created Facebook in a dorm room at the campus of Harvard University in February 2004. Its initial purpose was to form a social network exclusive to Harvard, allowing the viewing of students’ personal details to the entire student body and to create a platform for communication. Within four months, Facebook had expanded to thirty colleges and had 150,000 users. With a large......

Words: 7603 - Pages: 31


...I wish could look into the future! I don’t think I would wish to see the future, what would the fun be in that. If I could see the future there would be now meaning in living, because I would already know what would happen to me. Also I knew that something bad would happen to me and I couldn’t do anything about it, I would go insane. So I don’t understand why people can wish for it. On the other hand it is tempted to know if you get the dream job you always had dreamed of. If I would or demand to look into the future but I could choose what I would see I would probably chose to see if I got married, not who I would marry for that should be a secret for me. I would also like to see if I got a good job which doesn’t make me miserable. That would be that, there are no other things that I would like to see, for like in the movies, you can’t change the future it will always end up biting you in the butt. That’s also why I don’t want to see the future that includes me. But if I could see the future itself, like if the planet still is here in 50 years or if there comes a war. Still I think we should let the future be and just live in the present, then the future will come....

Words: 256 - Pages: 2

The Future

...obligations. – The transfer of risk (foreign exchange rates and controls). Use of country risk analysis 1) Informing the economical agents, interested in the internalization of their activity, regarding the opportunities available, but mostly regarding the assumed risks, in real terms. Thus their flexibility will increase, considering that they can develop strategies pre and post internationalization, for situations where the risk materializes, so that they can adapt in a timely manner and they are able defend their interests. Thus it becomes a shield against the vicious effects of globalization. Of course, all of these have as a result the increase of the effectiveness of the international economic activities. 2) The introduction of "thresholds" of risk: Country risk is a useful criterion for the foreign affairs when establishing the optimal level of the investment, for the credit or for purchase of financial products, but the main disadvantage is represented by the relativity of the score assigned to quantitative factors and particularly to the political environment. This is because future developments are expected and the anticipation accuracy depends on access to information sources, relevance of data used and the level of training of those involved. 3) Rating is used in setting prices for external loans and for speculative spreads titles. Because it acts as a ceiling on the corporate rating, indirectly it influences the ability of financing by......

Words: 5708 - Pages: 23

International Marketing - Which New Strategies Should the Company Frame for Future Growth

...Discuss. Q3. Can India develop as a global hub for biotech in the next twenty years? Q4. “Retention of professionals in Indian firms is not difficult, given the right environment”. Can this statement be supported by the case facts? Q5. On which future product areas should Biocon concentrate? Q1. Focus is the key to success in International Markets. Do you agree? Why or why not? Q2. Suggest some strategies for Indus Fila in the local market. Is there any link between domestic and international growth? Q3. What are the prominent issues that might challenge Indus Fila in a couple of decades from now? Q4. Which new strategies should the company frame for future growth? Q5. Do Joint Venture bring about growth? Discuss with reference to the case facts. Q1. Cognizant adopted good segmentation and positioning strategies to achieve their targets. Comment. Q2. “Adopting a hybrid business model would enhance the growth of the company”. How do you support this statement? Q3. “Are growth drivers similar for all companies? Substantiate your arguments in relation to the case facts. Q4. What could be the company’s status 10 years down the line, if the strategies are same as at present. Q5. Is it a good strategy to create new verticals as soon as critical mass achieved? Argue for or against Q1. Can you cite any other examples of similar buyouts by an Indian company? Any other country’s company? Q2. List 3 major advantage of this deal to Tata......

Words: 399 - Pages: 2