The analysis’ primary purpose is to evaluate annual national expenses of 3 billion dollars for defense industry and to increase its efficiency. Although the Dept. of Defense and Defense Acquisition Program Administration have spent 33 billion dollars for defense industry for 34 years, from 1974 to 2007, they have failed to develop the advanced weapon core technology. As results, national budget spent abroad continues to increase and Korea’s national defense persistently depends on the developed countries due to the increase of overseas acquisition.
The current Korean defense industry is capable of supplying traditional weapons, but it is unable to supply the advanced weapons. The scale of weapon exporting has not yet been increased, resulting in a considerably small contribution to national economic growth and job creation. It implies that the efficiency of national expenses for the defense industry is problematic and that the Korean government now faces the high costs of maintaining the defense industry.
The critical problem found is that defense industry’s costly and inefficient systems have been concretely built for the last thirty-four years. As a result, it is almost unfeasible to reverse the high-cost relation among the systems of defense industry, despite the diverse policy efforts made by the Defense Acquisition Program Administration to overcome the high-cost systems. By enhancing the efficiency of acquisition and national expenses for defense industry, policy efforts will continue to be made, which have been done since the year of 2006.
The current Korean defense industry is capable of supplying traditional weapons, but it is unable to supply the advanced weapons. The scale of weapon exporting has not yet been increased, resulting in a considerably small contribution to national economic growth and job creation. It implies that the efficiency of national expenses for the defense industry is problematic and that the Korean government now faces the high costs of maintaining the defense industry.
The critical problem found is that defense industry’s costly and inefficient systems have been concretely built for the last thirty-four years. As a result, it is almost unfeasible to reverse the high-cost relation among the systems of defense industry, despite the diverse policy efforts made by the Defense Acquisition Program Administration to overcome the high-cost systems. By enhancing the efficiency of acquisition and national expenses for defense industry, policy efforts will continue to be made, which have been done since the year of 2006.