Industry Responses to the New DoD Technology and Acquisition Approach

In early 1992 the DoD announced a 'New Acquisition Approach' which featured an increased emphasis on technology coupled with reduced plans for weapons production. Industry responses to the new policy have varied considerably but generally reflect uncertainty. The wide range of industry responses are shown to be explicable by means of a framework of three characteristics or factors. These factors are the defense firms, particular areas of business, their size, and by inference, their beliefs about their own abilities to influence future outcomes.