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For the same reason Boeing developed the 737 MAX instead of a completely new model. The fixed costs are too high, the risks are too high, and the profit margins
by jltsiren 3y ago
For the same reason Boeing developed the 737 MAX instead of a completely new model. The fixed costs are too high, the risks are too high, and the profit margins are too low. If it takes 10-15 years to develop a new plane, several years to ramp up production, and several years beyond that to break even, it does not make sense as a business. If you think it purely as an investment, there are always better uses for your money.
- kelnos 3y agoWasn't a significant part of Boeing's decision to "recycle" the 737 time-to-market? Sure, they saved a bunch of money not designing a new plane, but they were also under heavy threat from the A320neo and needed to get something out there relatively quickly.