The purpose of this thesis is to investigate the behavior of advanced company longitudinally in field of Aicraft Engines industry and apply the behavior principles of advanced company to Korean Aircraft Engines industry.
While 1980s to 1990s, the environment of competition is highly growing. Some excellent companies obtained much more revenues and more profits even though other moderate companies face trade-off situation in the revenue and profits.
The approach to find out what fundamental capabilities of the company are brings the framework of competence building and leveraging under resource-based theory.
Pratt & Whitney case shows the competence building and leveraging to explain its growth and overcoming of competitive pressures in its system elements affecting the value activities which is consisted of product developments, productions and marketings.
The findings of P&W case is as follows ;
1. Competence Building
The cumulative resources and technologies were exploited to support the competence building and leverage. In 90s P&W's restructuring remake the value activities which was depended upon military demand.
The greater competition also makes P&W focus on the improvement of development process rather than product technolgy itself.
2. Competence Leveraging
The existing competences and base resources help P&W make easy to have competitive advantage brought the derivative engines and growth engines, family engines to give customer satisfaction and cost saving effect. In addition, P&W participates in international collaboration with technology leadership, or engine core to leverage production capability and marketing one.
It is time to build competences in the Korean Aircraft Engines industry.
Korea government and companies have to exploit the opportunity of development of the Aircraft Engines with advanced companies that are willing to transfer technology because of competition pressure. And Korea companies have to keep striving lean production principle to secure the production capability in the long term perspective so that they can participate in international collaboration as quialified participants.
