How A Brazilian David Smote A Canadian Goliath
I agree it won't be easy for Bombardier Inc. to get back on the track ("Loud noises at Bombardier," The Corporation, Jan. 26). Bombardier's setback can be overcome only by the [deployment] of new products in the worldwide market in fields such as aerospace, consumer goods, and transportation.
In aerospace, the head-to-head competition is taking place not only at Gulfstream Aircraft Inc. but also at the Brazilian aircraft company Embraer. Some analysts liken the struggle between Embraer and Bombardier to David and Goliath, with Embraer (a former state-owned company) as David posing a new threat to giant Bombardier in planes for regional flights.
Embraer has received 132 plane orders and has a possibility of an additional 194. Recently, Embraer sold 50 planes to Continental Express and has a commercial agreement with American Eagle (part of American Airlines Inc.). These ventures have led to a sort of unofficial political misunderstanding between Canada and Brazil.
Brazil is only part of an economic reawakening of all of South America. It is the kind of growth we have dreamed about for years.
Marcos Roberto Fagundes
Sao Bento do Sul, Brazil