The Changing Shape of the Defense Industry and Implications for Defense Acquisitions and Policy
Greenfield, Victoria A.
Brady, Ryan R.
MetadataShow full item record
In the mid-1990s, the US defense industry experienced a dramatic wave of consolidation. This paper seeks to establish the statistical facts of defense industry consolidation, including the ways in which it reshaped the industry in the 1990s; the ways in which it may continue to reshape the industry; and the forces that promote or discourage it. It also seeks to consider the implications of consolidation for defense acquisitions and policy. The paper places the events of the 1990s in the broad context of economic and industrial activity spanning almost five decades: 1958-2006. It draws primarily''and in new ways''from a contracting data set known as the DD350 and applies standard economic models and tools. The paper finds that consolidation has had its most pronounced effects at the highest levels of the industry; that the process of consolidation has abated, if not reversed itself, in recent years; and that larger domestic and international economic force have been at least as important as DoD budget decisions and policy in promoting consolidation. The DoD has a significant say in what happens in the defense industry but cannot control it.
Proceedings Paper (for Acquisition Research Program)
NPS Report NumberNPS-AM-08-027
Showing items related by title, author, creator and subject.
Impact of Contract Bundling and Consolidation on Defense Acquisition System and Defense Industrial Base: The Case of the U.S. Department of the Navy Kidalov, Max V. (2012-08);Despite Congressional and Presidential emphasis on reducing bundling and consolidation of defense contracts, recent research studies cast doubt on whether bundling and consolidation are problems for small defense contractors ...
Franck, Raymond; Udis, Bernard; Lewis, Ira (Monterey, California. Naval Postgraduate School, 2010-04-26); NPS-AM-10-005A number of major changes in the international aerospace market continue; they will likely have major impacts on global defense and aerospace commerce. These developments include the following: With the increase in ...
Jones, Courtney David (Monterey, California: Naval Postgraduate School, 2014-03);In the past 12 years of sustained conflict, the Department of Defense (DoD) has procured thousands of unmanned systems, from ordnance disposal robots to airborne surveillance platforms to unmanned cargo helicopters. These ...