Qatar goes with the 787

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bits44
Posts: 1895
Joined: 03 Aug 2004, 00:00
Location: Vancouver CYVR

Post by bits44 »

Airbus must also be careful not to give away the farm! they are already bleeding money drastically and not much in reserve. The other danger is alienating your other customers who may demand reimbursement for discounts not offered them. Price wars are good to a point, then reality sets in and you discover you've sold lots of product but lost money on every deal.
There are no strangers in the world, just friends we have yet to meet.

smokejumper
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Joined: 21 Oct 2005, 00:00
Location: Northern Virginia USA

Post by smokejumper »

bits44 wrote:Airbus must also be careful not to give away the farm! they are already bleeding money drastically and not much in reserve. The other danger is alienating your other customers who may demand reimbursement for discounts not offered them. Price wars are good to a point, then reality sets in and you discover you've sold lots of product but lost money on every deal.
Kind of like "Loose a dollar on every unit, but make it up with the volume".

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fleabyte
Posts: 237
Joined: 02 Dec 2005, 00:00
Location: Colorado and Colombia

the great 2006/2007 A330 give-away

Post by fleabyte »

Can't blame Airbus, they are in a corner and need to buy some time, this firesale discounting disrupts the dynamics of airlines purchasing decision process.

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