Northrop Grumman - Competitors

Northrop Grumman Competition

Now Viewing Northrop Grumman's competition in: Aerospace Products and Parts Manufacture (primary)

Recent Developments

Business Jet, Turboprop Plane Shipments Grow - Worldwide shipments of general aviation airplanes rose 1.7 percent in the first nine months of 2007 compared to the same period in 2006, according to the General Aviation Manufacturers Association. Business jet shipments increased 20.9 percent and turboprop shipments rose 14.5; piston airplane shipments fell 6 percent.

Boeing Commercial Aircraft Deliveries Rise - Boeing delivered 11 percent more commercial aircraft in 2007 than in 2006. The 441 aircraft delivered was the best performance by the company since 2001, when it delivered 527 planes. Airbus, Boeing's primary competitor, delivered 453 aircraft in 2007.

Aerospace Sales Hit Record in 2007 - US aerospace sales rose to a record of nearly $200 billion in 2007, according to the Aerospace Industries Association, driven by double-digit growth in both the civil and military aircraft sectors. US aerospace sales have grown for four straight years since a plateau in 2003, and for six of the past seven years.

Competitive Landscape

Demand is driven by the US military budget and the overall economic climate, which affects airline traffic and demand for new commercial aircraft. The profitability of individual companies depends on technical expertise and the ability to accurately price long-term contracts. Large companies enjoy economies of scale in design, manufacturing, and purchasing. Small companies can compete effectively by concentrating on selected components and parts manufacturing for particular prime contractors. Increasingly, small companies are developing system integration capabilities as large firms outsource more aspects of contracts. Production of aircraft and major aircraft components is highly automated with average revenue per employee over $300,000.

Full Industry Overview For Aerospace Products and Parts Manufacture

Aerospace Products and Parts Manufacture Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US aerospace products is forecast to grow at an annual compounded rate of 6 percent between 2007 and 2012.

Aerospace Manufacturing Growth Steady After Spike

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.