What's happened
Boeing's struggles continue into 2025, marked by a significant stock price drop of over 30% in 2024 and ongoing scrutiny over safety practices. The company is grappling with production issues, a recent strike, and leadership changes, as it attempts to restore its reputation following a series of crises.
Go deeper
Current Challenges
- Stock Price Decline: Boeing's stock fell 31% in 2024, the worst performer on the Dow Jones Industrial Average.
- Safety Scrutiny: The company is under increased scrutiny from regulators following multiple safety incidents, including a door plug failure and a crash.
Cultural Shift Needed
- Leadership Changes: New CEO Kelly Ortberg emphasizes the need for a cultural overhaul, focusing on safety and accountability.
- Employee Trust: Reports indicate a lack of trust among employees towards management, complicating efforts for change.
Future Outlook
- Production Delays: The 777X jet certification delays push back its entry into service to 2026, impacting Boeing's competitiveness against Airbus.
- Market Position: Boeing's struggles have allowed Airbus to gain a stronger foothold in the market, with analysts noting a significant difference in deliveries between the two companies.
What the papers say
According to Business Insider UK, Boeing's stock price dropped 31% in 2024, making it the biggest loser on the Dow Jones Industrial Average. The company faced scrutiny after a door plug incident on a 737 Max and a crash-landing in South Korea, which killed all but two of the 181 people on board. Transportation Secretary Pete Buttigieg highlighted the need for a profound culture change at Boeing, stating, 'there were real deficiencies' at the company. Meanwhile, the South China Morning Post noted that Boeing's reputation for safety has been severely impacted by past incidents, including the 737 Max crashes that resulted in 346 fatalities. The company is now under pressure to restore trust and improve its safety practices.
How we got here
Boeing has faced a tumultuous period, particularly in 2024, with a series of safety incidents, including a door plug failure on a 737 Max and a crash-landing in South Korea. The company has also dealt with a seven-week strike that hampered production and a leadership change as it seeks to improve its corporate culture and safety practices.
Common question
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What Are Boeing's Current Safety Concerns and Leadership Changes?
Boeing is facing significant challenges as it navigates a turbulent period marked by safety issues, leadership changes, and market struggles. With a recent crash-landing incident and a notable drop in stock prices, many are left wondering about the implications for the company's future. Below, we address some of the most pressing questions surrounding Boeing's current situation.
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What Challenges is Boeing Facing in 2025?
As Boeing enters 2025, the company is grappling with significant challenges that threaten its reputation and future. From safety incidents to leadership changes, many questions arise about how Boeing plans to navigate these turbulent waters and restore confidence among stakeholders.
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The Boeing Company is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, telecommunications equipment, and missiles worldwide.
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Airbus SE is a European multinational aerospace corporation. The 'SE' in the name refers to Societas Europaea, which enables it to be registered as European rather than Dutch.
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Alaska Airlines is a major American airline headquartered in SeaTac, Washington, within the Seattle metropolitan area. It is the fifth largest airline in the United States when measured by fleet size, scheduled passengers carried, and the number of destin
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The Boeing 737 MAX is the fourth generation of the Boeing 737, a narrow-body airliner manufactured by Boeing Commercial Airplanes. It succeeds the Boeing 737 Next Generation.
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Delta Air Lines, Inc., typically referred to as Delta, is one of the major airlines of the United States and a legacy carrier. It is headquartered in Atlanta, Georgia.
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South Korea, officially the Republic of Korea, is a country in East Asia, constituting the southern part of the Korean Peninsula and sharing a land border with North Korea.
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The Dow Jones Industrial Average, Dow Jones, or simply the Dow, is a stock market index that measures
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