The dying California economy received another blow recently with the latest 4,000 layoffs at the McDonnell Douglas commercial aircraft division. However, McDonnell Douglas doesn’t deserve any more sympathy for attempting to make a product for which there is no demand than IBM deserves for making mainframe computers in the age of desktop machines.
On my salary as an office temporary, I can’t afford to fly anywhere. This translates into lower ticket sales for the airlines and shrinking sales of new jetliners.
With the money they save from winding down the production of MD-11 jets, McDonnell Douglas should consider diversifying into copiers, fast food or some other product that consumers can afford and for which a demand exists.