C Series Will Do Just FineThere's a lot of things being said about Bombardier's C series. As with most things in life some of it is accurate, some of it is garbage. We humans have a knack for distorting the truth with our emotions - even when the distortion is unintentional. As a result, a lot of what gets presented as fact - in fact - amounts to somebody's conjecture based on little more poor analysis, and wishful thinking. (anyone interested in more on this topic might want to read, Don't Believe Everything You Think)
Before taking anyone's words too seriously we should try to verify to the best of our abilities what is being said, ask ourselves if it makes sense in the context of what we already know and try, as best we can, to verify before taking action. Trouble is, most small investors like us, don't have great access to all the information needed to make the best decisions, so we're left to fill in the gaps with guess work and emotional reasoning.
C Series was never intended to compete with Airbus, and Boeing. It was intended to target the market which Embraer's ERJ190/195 currently dominates, with a load capacity slightly above it, and it should do that very effectively.
CSeries does bump up against the smallest variations of the Airbus and Boeing narrowbodies, in its (C Series') largest incarnation, but it in no way competes head-to-head with the full range of these larger aircraft. And that's an important point which appears to be completely lost every time the media announces another win for Airbus, or Boeing as if it was somehow another loss for C series.
Despite the recent pronouncements by Delta, C series does not need to be concerned about whether or not it will receive sufficient orders. The orders will be there when C series goes into production. Airlines, including Delta, realize they need more manufacturers to build more efficient aircraft at a competitive price, and they don't accomplish that by buying from the two behemouths who currently dominate the market.
More importantly, C series offers better long term cost options. Cheaper to operate, quieter, more fuel-efficient, etc... No one should be surprised that Airbus and Boeing are offering heavy discounts on their older, heavier, clunkers in an effort to soak up market share. But that strategy has its limits. Cheaper, older models tend to lose their appeal over time in the face of rising fuel costs, new pollution and noise requirements, and growing competition.