Foreign Military Sales versus Direct Commercial Sales
Marvel, Orin E.
Mutty, John E.
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The transfer of arms from the U.S. to other countries under the Security Assistance Program is done in two basic ways: government-to-government Foreign Military Sales (FMS), and contractor-to-government Direct Commercial Sales (DCS). These methods help to increase standardization and interoperability between the U.S. and its Allies. This study examines the U.S. arms sales policies and procedures for FMS and DCS. It is aimed at identifying the advantages and weaknesses of these methods and to provide information to the Turkish Navy decision-makers for future arms procurements. The objective of this study is to improve the effectiveness and efficiency of the Turkish Navy in procuring weapon systems/services from U.S. sources. The research found demonstrates that the choice of either FMS or DCS is driven by the special circumstances of the Turkish Navy, rather than by substantive differences in the two systems. The final decision on procurement methods with the U.S. depends on the country and items to be purchase. This study examines the major trade-offs between the FMS and DCS systems, and recommends the factors which the Turkish Navy should take into account to minimize costs, maximize effectiveness, and maximize efficiency
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