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SWOT Analysis of Boeing (Boeing SWOT)

SWOT Analysis of Boeing (Boeing SWOT)

This is a comprehensive SWOT analysis of Boeing. It attempts to evaluate the strengths and the weaknesses of Boeing. Likewise, it attempts to examine some opportunities that the company can explore and the threats that it should build resilient walls against. Boeing is one of the largest aerospace companies in the world. Its headquarter is in Chicago, the USA.

Strengths of Boeing

Boeing is one of the largest manufacturers of aircrafts, helicopters, space vehicles and some others. It is also a defense contractor for many countries around the world. Currently, its products and services are used in over 150 countries (Boeing, 2021).

One of Boeing’s strong strengths is the portfolio of innovative products that has been introduced to the market over the years. For example, lightweight carbon composites and innovative fuel- efficient technologies to name but a few.

Boeing has a very strong supply chain, and it has nurtured a strong relationship with the suppliers by honouring their contribution to the success of the company. It supplies its products to a wide variety of customers. Therefore, customers who require personal jets can purchase from Boeing too.

Since Boeing operates in an industry that is driven by technology, it has partnered with many important tech giants from countries around the world. Likewise, it employs 140,000 people across the USA and beyond (Over 65 countries). Its employees are very diverse, innovative, and talented. It also benefits from a massive number of people working for its suppliers around the globe (Boeing, 2021).

The noise footprint of 787 Dreamliner is less than that of similar sized aircrafts. This has resulted in less noise pollution during take offs and landings. The Dreamliner also uses less fuel which has resulted in a reduction in the cost per seat mile. As a result of reduced fuel usage, there is a reduction in CO2 emissions as well.

Weaknesses of Boeing

Weakness is the next element in the SWOT analysis of Boeing. Boeing’s global reputation and financial rating were adversely affected after the 737 MAX was grounded worldwide due to two fatal crashes in 2018 and 2019. Deliveries of many more new aircraft were suspended causing the company to work with the Federal Aviation Administration (the US regulator) to address the issue (Leggett, 2021).

Most of Boeing’s contracts are from the Government of the USA. Therefore, it can be said that it is heavily dependent on them, and many political factors affect its revenue as well.

Boeing is also heavily dependent on some of its suppliers for raw materials. This reduces its bargaining power. If any of its important suppliers does not deliver the required materials, it may create serious issues in the production process of the company.

Mazareanu (2021) reports that Boeing’s revenue in 2020 was 58.18 billion US dollars. This is very concerning compared to the revenue it made in 2018 which was 101 billion US dollars. It indeed destroyed $140 billion in shareholder value over the past two years (The Economist, 2021).

Opportunities for Boeing

Boeing has the opportunity to expand its operations by entering into strategic alliances with other global companies. After the two challenging years, 2021 has seemed promising as the deliveries of the planes have resumed.

As a result of globalization, the number of passengers travelling will increase in the future which in turn, will increase the demand for commercial aircrafts. Boeing can also consider investing in space related planes as the demand for this keeps increasing.

Boeing has an opportunity to develop new technologies which will increase revenue and open up new markets. For example, it partnered with Uber to build air taxis. Its first test flight has already taken place. Though the flight did not last long, it was a success. It is worth mentioning that the market for air taxis are likely to be worth around $1.5 trillion by 2040 (Hornyak, 2020).

Threats to Boeing

Threat is the last element in the SWOT analysis of Boeing. Global lockdowns in 2019/2020 restricted air travel, and therefore, the demand for commercial aircrafts has reduced as well. Similar environmental challenges in the future may be catastrophic for Boeing. Likewise, the political and economic conditions of a country may affect its performance too.

Boeing faces immense competition from Airbus. Pilatus Aircraft is advancing as well. Pressure from these two companies and others can result in Boeing losing market share. Likewise, legal challenges and fines can be costly as well. For instance, Boeing agreed to pay $2.5 billion over 737 Max conspiracy (BBC, 2021).

We hope the article SWOT analysis of Boeing (Boing SWOT) has been a good read. You may also like SWOT analysis of American Airlines. Other relevant articles for you are:

Marketing mix of British Airways

Competitors of Air Canada

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Last update: 12 June  2021


BBC (2021) Boeing to pay $2.5bn over 737 Max conspiracy, available at: (accessed on 4th June 2021)

Boeing (2021) Our company, available at: (accessed 10 June 2021)

Hornyak, T. (2021) The flying taxi market may be ready for takeoff, changing the travel experience forever, available at: (accessed 09 June 2021)

Leggett, T. (2021) Boeing’s 737 Max aircraft under scrutiny again, available at: (accessed on 4th June 2021)

Mazareanu, E. (2021) Boeing’s worldwide revenue from FY 2007 to FY 2020, available at: (accessed 10 June 2021)

The Economist (2021) Can Boeing fly without government help? available at: (accessed on 4th June 2021)

Author: Fahim Shah

Fahim Shah has been working in the UK as a visiting lecturer in Business and Tourism for the last 10 years. After completing a Bachelor’s degree in Business and Marketing, he went on to gain an MBA from the University of Bradford, the UK. He is a Fellow of Advance HE (FHEA) and a full member of the Association of Business Executives (ABE).

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