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Avionics in modern aviation industry

Vol. 15, Iss. 10, OCTOBER 2016

PDF  Article PDF Version

Received: 27 April 2016

Received in revised form: 25 May 2016

Accepted: 20 July 2016

Available online: 1 November 2016

Subject Heading: SCHOLAR DISPUTE

JEL Classification: G34, L19, L93, O33, O57

Pages: 155-167

Sobolev L.B. Moscow Aviation Institute (State University of Aerospace Technology), Moscow, Russian Federation
sobolevLB@yandex.ru

Subject The article analyzes the trends in the avionics world market development.
Objectives The study aims to increase the economic efficiency of Russian avionics manufacturers and avionic equipment based on experience in creating the business models by global leaders and their competitive activity strategies.
Methods The study rests on a comparative analysis of activity of leading foreign and Russian companies engaged in development and production of avionics systems.
Results The analysis shows that Russian companies operating in the field of avionics have made only the first step on their way to creating a globally competitive organization structure. Next steps should be decreasing their dependence on Defense Procurement through developing the civil sectors of electronics, increasing innovation and diversification to enhance economic stability.
Conclusions Under fiercer competition in the global avionics market, it is possible to use alternative business models of avionics manufacture in Russia, increase the number of manufacturers (including through the creation of avionics segments in allied industries), and develop internal competition in the country.

Keywords: avionics, military electronics, radio electronics, restructuring, business model

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