
Airbus has slowly been spiraling out of control and is fearfully close to making a hard crash landing. With the recent failure of its 'so called' flagship jumbo jet, Airbus has not been able to turn a profit. Due to this, Airbus' main competitor Boeing has been flying high. Boeing has recently outsourced many of its jobs in America to other developing countries. Airbus, seeing how well this worked for Boeing, is planning outsourcing of its own. For its new airliner, the A350XWB, the bulk of production takes place in Germany and France. The development of this new jet is estimated to cost Airbus over 12 billion dollars. Already in the red, Airbus is looking to do anything to lower this potential cost.
Following in Boeing's footsteps, Airbus is planning to outsource around 3.5 billion dollars of work to various countries. They have not yet revealed where they wish to open new factories. This outsourcing will lead to thousands of jobs lost in Germany, one of Airbus' main producing countries. It is estimated that Airbus will need to sell and outsource roughly 16 factories throughout Europe.
I think that if Airbus is to go through with this outsourcing, it must be smart where it sends its jobs. Airbus should outsource to countries that are right on the edge of being fully developed. Aircraft construction is a precise field and therefore some technology is needed. The country will also need to have infrastructure in place and be fairly industrial. A place like Mexico may be a very smart move for Airbus, as it is fairly advanced but also will benefit Airbus by allowing them to pay workers lower wages.