Some major aircraft include the Air Bus A350XWB and the Boeing 787 Dreamliner. Pratt & Whitney is producing the F 119 engine for the F-22 Raptor and the F-35 Joint Strike Fighter Jet. The F-22 faced various problems associated with costs and was removed from the 2010 budget. However, the F-35 will be the global jet of choice in the coming years. Carrier produces commercial and residential heating and air conditioners. A recent innovation for the segment was the Comfort Choice consumption manager. The Comfort Choice is an online control for heating and air conditioner systems. Otis elevators, escalators, and people movers developed an innovative GEN2 elevator system in recent years. This was a major development for the industry as a whole and will continue to drive the segment. United Technologies also produces aftermarket and replacement parts for all of their major products. These replacement parts contribute to over 40% of their total revenue. This feature of the company creates a source of income when market demand for new products …show more content…
In 2008, cost of goods sold was $41.2 billion and revenues were 58 billion. The cost of goods sold for 2009 maintained a very similar ratio, $37.6 billion cost of goods sold and about $53 billion. Manufacturing processes vary from segment to segment, but the overall costs remain consistent.
Distribution and Suppliers United Technologies demands very high standards from suppliers. The company surveys suppliers annually and stresses the importance of efficiency. In addition, they have a very low tolerance for inefficiency. United Technologies has created a program titled “Supplier Gold.” The “Gold” standard is given to suppliers who accomplish stringent efficiency standards. Benefits include recognition and considerable benefits. Suppliers for the company are also required to adhere to strict environmental regulations.
Competition
Competitive Environment Pratt & Whitney faces intense competition for aerospace/defense contracts. General Electric is a primary competitor for aircraft engines. Boeing is also a major competitor for the aerospace segments. Thysenkrupp AG is a German steel company that competes with the Otis elevator segment of United