Airbus vs Boing Duoploy
SIBM Bangalore | Duopoly | Airbus Vs Boeing | | Rohit Jhunjhunwala(12020841158) | ShubhikaLal (12020841169) | GauravKaranwal (12020841136) | NavneetSinha (12020841147) | AnuragAwasthi (12020841125) | | | |
This document is an essay on the Duopoly Market Structure existing in the Aircraft Manufacturing Sector. This is meant purely for information purposes. |
COMPETITION ANALYSIS 2 Market Share 3 Order and Deliveries 3 Stock Price 3 Competition by Product 3 PRICING STRATEGY 4 Airbus Strategy – Driven by the Ticket Price: 4 Boeing strategy - Passenger demand for fast nonstop flights will drive airplane selection: 4 Strategic objectives for Boeing / Airbus Pricing – 5 Price Elasticity - An important indicator of market structure is the price elasticity of demand: 5 Product design: 6 Type: 6 Size/Seats: 6 Current Scenario: 7 Exhibits 7 Exhibit 1 7 Exhibit 2 8 Exhibit 3 8 Exhibit 4 9 Exhibit 5 10
DUOPOLY
A situation in which two companies own all or nearly all of the market for a given product or service. A duopoly is the most basic form of oligopoly, a market dominated by a small number of companies. Duopoly can have the same impact on the market as a monopoly if the two players collude on prices or output.
Characteristics of Duopoly
1. The number of sellers in this market structure is only two. 2. The decision of the sellers is not independent of each other. 3. The change in price and output by one seller affects the other seller who reacts to the change. 4. The product can be homogenous or differentiated. 5. The decision variables include price, product differentiation, selling expenses, etc. but the decisions depend upon the strategies of the competitor. 6. Product differentiation is the entry barrier and also the firm dominating the market can pose as an entry barrier.
Two kinds of Duopolies
Duopoly Market
Bertrand Duopoly
Cournot Duopoly
1.
This document is an essay on the Duopoly Market Structure existing in the Aircraft Manufacturing Sector. This is meant purely for information purposes. |
COMPETITION ANALYSIS 2 Market Share 3 Order and Deliveries 3 Stock Price 3 Competition by Product 3 PRICING STRATEGY 4 Airbus Strategy – Driven by the Ticket Price: 4 Boeing strategy - Passenger demand for fast nonstop flights will drive airplane selection: 4 Strategic objectives for Boeing / Airbus Pricing – 5 Price Elasticity - An important indicator of market structure is the price elasticity of demand: 5 Product design: 6 Type: 6 Size/Seats: 6 Current Scenario: 7 Exhibits 7 Exhibit 1 7 Exhibit 2 8 Exhibit 3 8 Exhibit 4 9 Exhibit 5 10
DUOPOLY
A situation in which two companies own all or nearly all of the market for a given product or service. A duopoly is the most basic form of oligopoly, a market dominated by a small number of companies. Duopoly can have the same impact on the market as a monopoly if the two players collude on prices or output.
Characteristics of Duopoly
1. The number of sellers in this market structure is only two. 2. The decision of the sellers is not independent of each other. 3. The change in price and output by one seller affects the other seller who reacts to the change. 4. The product can be homogenous or differentiated. 5. The decision variables include price, product differentiation, selling expenses, etc. but the decisions depend upon the strategies of the competitor. 6. Product differentiation is the entry barrier and also the firm dominating the market can pose as an entry barrier.
Two kinds of Duopolies
Duopoly Market
Bertrand Duopoly
Cournot Duopoly
1.