Part III consists of contributions which address applied issues of multinational organisation in specific industries. The first chapter by Hartley deals with the European defence industry. It focuses on the various ways in which the single European market might be extended to include the procurement of defence equipment. Issues considered are: (1) the organisation of EU collaborative defence projects, (2) the development of the EU defence industrial base and how it might be brought about, i.e., decision-making rules, (3) issues of resource re-allocation by firms forced out of defence and into other businesses by rationalisation, for example, the ‘peace divi-dend’, tanks to tractors, etc. These issues of re-organisation are particularly important in the context of the recent consolidation of the defence industry in the US. The issues discussed in the chapter therefore concern the very sur-vival of European defence multinationals.