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Coverting from Military to Civilian Pursuits

This research describes an entrepreneurial venture which would exploit the talents and capabilities of former military helicopter pilots, maintenance personnel, and support technicians. Rapidly developing political changes in Europe, which began unexpectedly in 1989, are causing even the NATO (North Atlantic Treaty Organization) alliance to consider nonmilitary roles. In the United States (US), Defense Secretary Cheney has announced sweeping cuts in the nation's governmental defense establishment (Markoff, 1990). Senior military personnel are girding for another military recession, such as that endured by the services under President Eisenhower, and the defense industry in the US, together with investors, is wondering how it will remain viable in the absence of the "Cold War." This research proceeds on an assumption that acrosstheboard manpower reductions will comprise a major part of the Defense Department scaledown.

CONVERTING FROM MILITARY TO CIVILIAN PURSUITS

Thus far, what attention has been devoted to the restructuring of activities from a national defense to a civilian orientation has emphasized industrial operations, either at the industry or the firm level (Brunton, 1988). The general

1 2outlook for defense contractors considering such a conversion has been viewed as questionable, at best (Brunton, 1988).

Perhaps the most significant problem facing defense contractors who must convert all or a substantial portion of their output to civilian ends is the fact that the defense industry in the US is not truly a free enterprise industry. The solesourcesolecustomer concept has effectively shielded these firms from real competition. They are, in fact, a part of the public sector in operation, and a part of the private sector in the distribution of rewards.

A variety of concerns exist with respect to the solesource/solecustomer policy. These concerns include acquisition costs, redundancy ...

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Coverting from Military to Civilian Pursuits. (1969, December 31). In LotsofEssays.com. Retrieved 11:07, March 28, 2024, from https://www.lotsofessays.com/viewpaper/1691588.html