ABSTRACT
In most countries, the national government, as a buyer of military aircraft and services, is the single largest customer of the aerospace industry. This reality by itself is sufficient to justify a major effort by the industry to influence government policy and decision-making. However, aside from their roles as customers, governments affect companies’ profitability by means of establishing tax policy, promulgating compliance requirements in a variety of domains, and determining official policy and practices pertaining to foreign policy and relations with international organizations. In some countries, governments are also involved in direct subsidies and loans to their national aerospace industries, and control programs of credit guarantees to international customers.
