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Toxic marriage – Boeing and McDonnell Douglas

Jamie O’Brien (The Donald J. Schneider School of Business and Economics, Saint Norbert College, De Pere, Wisconsin, USA)
John-Gabriel Licht (The Donald J. Schneider School of Business and Economics, Saint Norbert College, De Pere, Wisconsin, USA)
Joy M. Pahl (The Donald J. Schneider School of Business and Economics, Saint Norbert College, De Pere, Wisconsin, USA)

Publication date: 10 October 2024

Abstract

Research methodology

Public data such as news reports, interviews and memos were used to craft the case. In addition, the technical reports released by the National Transportation Safety Board (NTSB), along with secondary data in the form of expert accounts and congressional hearings were used to round out the synopsis of the case study.

Case overview/synopsis

This case explores the Boeing–McDonnell Douglas merger and its impact on Boeing’s corporate culture, ethics and strategic decision-making. After the merger, Boeing shifted from a culture focused on engineering excellence to one emphasizing cost-cutting and shareholder value. This cultural shift contributed to the development failures and ethical lapses that resulted in the 737 MAX crisis, which involved two fatal crashes. The case is designed for courses in Strategic Management or Organizational Behavior.

Complexity academic level

Strategic Management or Organizational Behavior

Keywords

Acknowledgements

Disclaimer. This case is intended to be used as the basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation. The case was compiled from published sources.

Citation

O’Brien, J., Licht, J.-G. and Pahl, J.M. (2024), "Toxic marriage – Boeing and McDonnell Douglas", , Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/TCJ-06-2024-0176

Publisher

:

Emerald Publishing Limited

Copyright © 2024, Emerald Publishing Limited

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