Z-Wing Benchmarking

Marketing and Product Development Research

Z-Wing is a manufacturer of commercial and military aircraft for the airline industry and governments. Janssen Aircraft is Z-Wing’s main competitor which has recently captured 47 percent of the industry market share. Z-Wing and Janssen both sell their products to the organizational markets rather than to the passengers or crews and must take into consideration the needs of the organizational buyer. Organizational buyers are typically few in number and have specific buying criteria such as (1) price, (2) ability to meet the quality specifications required for the item, (3) ability to meet required delivery schedules, (4) technical capability, (5) warranties and claim policies in the event of poor performance, (6) past performance on previous contracts, and (7) production facilities and capacity (Kerin et al, 2006). Suppliers that meet or exceed these criteria create customer value (Kerin et al, 2006).

Airbus Corporation ()

Airbus is a division of the European Aeronautics Defense and Space Company (EADS) which supplies commercial passenger and cargo aircraft to the airlines and freight companies such as FedEx and United Parcel Service (UPS). Air bus markets itself as a global leader in the development of technologically advanced and environmentally friendly aircraft. With the rising cost of oil, growing concerns over global warming from burning fossil fuels and the fact large aircraft consume large amounts of fuel it is becoming increasingly important for an airline company to have the most fuel efficient aircraft available in order to reduce operating costs, reduce carbon dioxide output and increase profits.

Airbus is taking orders for the A380 which is largest passenger aircraft ever built and claims to be 17 percent more fuel efficient in terms of fuel consumed per passenger kilometer than any other large passenger aircraft ever built (Airbus, 2008). The A380 can achieve such high efficiency because of the large amounts of lightweight composites used in its construction and the very fuel efficient Rolls-Royce, General Electric, or Pratt and Whitney engines which power the 555 passenger aircraft. Another aspect of such high efficiency which Airbus likes to tout is the low environmental impact which comes with the high efficiency. Airbus claims low carbon dioxide emissions in the range 75 grams per passenger kilometer which is almost half of the target emissions proposed by the European Union for passenger cars in 2008 (Airbus, 2008). Z-Wing should look to Airbus as an example of how to market itself as a leader in producing fuel efficient and environmentally friendly aircraft. Z-Wing needs to market its 888 like the A380 and communicate its commitment to reduce the carbon footprint of its products both to the organization buyer and to the general flying public which can vote with their dollars to only fly airlines which use the most efficient and green aircraft available.

Boeing Corporation ()

The Boeing Corporation is a leading provider of commercial and military aircraft to the civilian and government markets. Boeing also provides many services to its customers as a package which comes with the aircraft. Z-Wing has already identified the aviation services market as having a greater income potential than the production of aircraft in the coming decades. Boeing offers a wide range of services including training for fight crews and maintenance personnel,