An Analysis of Reasons Companies Refuse to Participate in Defense Business
NAVAL POSTGRADUATE SCHOOL MONTEREY CA
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This study attempted to identify the extent to which firms have taken the position of refusing to participate in Department of Defense business and the principal reasons for this refusal. A survey questionnaire was sent to companies identified as refusing DOD business as well as a random sample of companies selected from various industries. An analysis of the responses indicates that approximately 20 of the surveyed firms refuse DOD business due to such reasons as burdensome paperwork, Government bidding methods, more attractive commercial ventures and Government attitudes. The study analyzes examples of each of these reasons as well as twenty-two additional problem areas. Implications of small versus large business and prime contractor versus subcontractor views are examined. Author Keywords Industrial Base Defense Contractors Subcontracting Procurement Contracting Acquisition.
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