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INTERNATIONAL COMPETITION IN HIGH TECHNOLOGY: THE BRAZILIAN AIRCRAFT INDUSTRY

1987; Emerald Publishing Limited; Volume: 4; Issue: 2 Linguagem: Inglês

10.1108/eb008326

1758-6763

Richard W. Moxon,

Defense, Military, and Policy Studies

This paper reviews the growth of the Brazilian aircraft industry, and evaluates the strategic choices and government policies that have influenced its development. Brazil's goals of military independence, technological development and improvement of its balance of payments have influenced the development path chosen and the requirements for success. Brazil's attempts to overcome the barriers to achieving technological competence, cost competitiveness, market acceptance and financial sustainability are described. It is argued that the government has played a crucial role in providing financial resources and a protected domestic market, but that it has allowed the key enterprise, Embraer, to maintain an emphasis on commercial viability and international competitiveness. Embraer's emphasis on product niches where it has potential competitive advantages has been a key to its success. It is argued that a clear competitive strategy, based on a thorough analysis to the key success factors in the industry, is a vital link between government goals and support and international competitive success.