Re: 30-year-old technology

Date:         21 Mar 97 02:43:25 
From:         tschell@s.psych.uiuc.edu (Terry Schell)
Organization: University of Illinois at Urbana
References:   1 2
Followups:    1
Next article
View raw article
  or MIME structure

matt@firstsol.com (matt weber) writes:
<snip>
>Until someone figures out how to build a super-jumbo that makes economic
>sense, I don't think anyone is going to getting orders.

Well, I more or less agree with you... but there will always be some
orders for the biggest, newest airplanes for carriers that are very
image conscious.

It is worth noting that the capital costs are really a "slippery slope"
issue. If these costs are too high to sell many planes, you are forced
to carry the development costs for a longer period of time.  This
further increases the price at which the manufacturue needs to sell the
planes in order to break even.  If they pass these increases on to the
customers, no one orders the planes; if you "eat" the costs, you could
kill the company.

Sincerely,
Terry