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Abhijeet S
Pest Analysis On American Eagle Outfitters : American Eagle Outfitters (NYSE: AEO) is an American clothing and accessories retailer based in Pittsburgh, Pennsylvania. It was founded in 1977 by Mark and Jerry Silverman as a subsidiary of Retail Ventures, Inc., a company which also owned and operated Silverman's Menswear. The Silvermans sold their ownership interests in 1991.[3]. On March 16th at 10AM, American Eagle Outfitters opened its first store outside of North America at Mirdif City Centre in Dubai, United Arab Emirates. [4] American Eagle (also stylized as Am. Eagle, A. Eagle, A.E.O, Amer. Eagle, A.E., æ, and A.E. Outfitters) targets teens and young adults.[5] Some of the best selling products of American Eagle Outfitters are low-rise jeans, polo shirts, graphic T-shirts (with the AE logo and year established), henleys, boxers and briefs, outerwear, and swimwear


In total the unit has managed to capture sixty-three gross orders so far this year and is expected to perform exceptionally well for the rest of the year with the introduction of its latest model the 777-200LR which will be forthwith the company’s longest range commercial airplane. The 777-200LR has already undertaken its maiden flight successfully. The company’s most predominately desired commercial airline is its 787 model which is continuing to make excellent progress whilst displaying key technological superiority. As of April 2005 the company has announced that so far to date it has taken 237 orders and commitments for its reputable 787 model from over nineteen airlines. In the first quarter of 2005 alone the company has received a further sixty two orders and commitments for the luxurious 787.

Boeing has a total of sixteen commercial airplanes that are divided into five families. Appendix 1.6 shows a complete list of these families and their respective products. As can be seen the cheapest airline is the 717-200 which can cost anywhere in between $38.0 - 42.0 million, alternatively the most expensive commercial airplane on offer at present is the 777-300 ER which costs between $218.0 - 245.5 million. Indeed with such enormous sales prices one can truly begin to realize the true extent of operating in the airline industry. The 717-200 will however cease production in the near future with Boeing Commercial Airplanes President and Chief Executive Officer Alan Mulally conceding that “the 717 brings tremendous value to the airlines that operate it. Unfortunately, the overall market for the airplane does not support continuing 717 productions beyond delivering on our current commitments.”



The 717-200 had an overall passenger capacity of 106 seating places whereas the new 787-9 Dreamliner will boast an overall capacity of 259 passengers in a three-class configuration. Although incomparable to Airbus’s new A380 in size the 787-9 will bring other benefits to potential clients as it uses twenty percent less fuel than any other airplane of its size in the market. This belief was reinforced by Hans Weber, the US-based president of a successful management and consulting agency named Tecop International. Weber indicated that "With the 787, the cost level is lower than any airplane. As soon as you fly a 787 you spend less money."



However it’s the 747 family that are Boeing’s largest capacity airplanes, offering seating capacities of between 416-524 persons. One of Boeing’s jewels is its 737-800 model or as it is frequently referred to the 737NG which is often requested by many of today’s successful low cost airlines.
The 737NG is ideal for low cost airlines as it can carry up to 189 passengers rapidly across short distances from point to point routes. Earlier this year one of Europe’s leading low-cost airlines RyanAirgave a commitment to Boeing for the purchase of seventy 737NG aircrafts. Boeing announced that the deal was worth US$4.6 billion at list prices, plus there were options for up to 70 more airplanes .


Another product worth mentioning is the Boeing Business Jet (BBJ); which was developed by the Boeing commercial airplane unit in 1996. So far to date this majestic airplane has been bought ninety seven times and BBJ President Steven Hill is confident that it will reach sales of one hundred by the end of the fiscal year, especially since in the last six months alone the company has won another six orders. Hill announced that "the interest and orders for the BBJ continues to grow. We're confident that the record sales pace will continue and that we will achieve 100 orders before the end of this year."


The BBJ is essentially an airplane constructed solely for the purpose of dignitaries and others of great importance. The Geneva News Publishing Company commented that "Without a doubt, no other long-range business jet can be configured in so many uses ..." and they were not far from the truth, the BBJ boasts extra space, unsurpassed comfort, an unmatched array of onboard utilities to allow one to be productive whilst living a busy and hectic lifestyle which includes an executive conference area. The plane allows one to travel from over long distances in a relaxed environment.
 
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