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An Initial Look at Technology and Institutions on Defense Industry Consolidation
Acquisition Review Journal
  • John D. Driessnack, USAF
  • David R. King, Marquette University
Document Type
Format of Original
15 p.
Publication Date
Defense Acquisition University

Conventional wisdom holds that defense industry consolidation resulted from decreased defense spending. However, we maintain that understanding dynamic changes in key defense institutions helps provide a more complete explanation for observed consolidation. Specifically, we examine the interaction of evolving technology and changing institutions. Institutions reviewed include procurement policies, weapons requirements process and the procurement organizations. We take an initial look at the industry and highlight how these changes influenced transaction costs in the defense industry more fully explain the forces driving consolidation and provide greater insight to policy makers seeking to improve the performance of the defense industry. Further research is needed to build a robust institutional framework of the defense industry and the related government agencies to allow better policy prescriptions.


Published version. Acquisition Review Journal, Vol. 35, (2004): 63-77. DOI. © 2004 Defense Acquisition University. Used with permission.

David R. King was affiliated with the U.S. Air Force at the time of publication.

Citation Information
John D. Driessnack and David R. King. "An Initial Look at Technology and Institutions on Defense Industry Consolidation" Acquisition Review Journal (2004) ISSN: 1533-6409
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