All entries for Tuesday 11 November 2008

November 11, 2008

Global Business Environment PMA (Continued)

It is nearly the end of my Global Business Environment PMA, only a few days left and I will hand it in soon.

Since the last time I posted a blog about the difficulties I encountered when I tried to find useful information, I received a lot good suggestions. Thank you all, especially the library staff. To be honest, when I wrote that blog, I was more like moaning about something, I didn't even expect that anybody was going to read it. I know now that I was wrong. Thanks to all of you for your time to read my blog and give me good suggestions.

I have dug deeply in the library resource database, especially in the Business Source Premier. I finally got enough information for me to write about the reasons how aerospace became a globalised industry, and I also found some very interesting information on the internet.

I used to think that like all the other industries, aerospace outsourcing or having suppliers from all over the world is mainly because of the cheap labour cost in the developing countries. Well, I was wrong again.

Aerospace industry is a different sector, not like others, it involves high technology and safety requirements. Governments also have long prioritisied their interests in the aviation sector, and fighting to get the most advanced technology to build their own airliners. Since aircraft manufacturers' customers base are worldwide, globalising the industry is also used as a way for the original equipment manufacturer such as Boeing, Airbus to attract customers at the supplier's domestic country. Cheap labour might be one of the reasons that Boeing and Airbus outsource their manufacturing activities, but the main reasons are to attract more customers.

Always feel so good to learn something new....


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