Selling to the Government Best Prospects for Small Entreprene.docx

Selling to the Government : Best Prospects for Small
Entrepreneurial Firms Page 2
International Management
Summer B
Professor J. Haar
Selling to the Government:
Best Prospects for Small Entrepreneurial Firms
Prepared By:
Andrew Hussey
Cecilia Jimenez
Juan Diego Membreño
Table of Contents
3Introduction - Why Sell to the Government?
4Department of Defense (DoD) - Brief Information
5Laws, Rules, Restrictions/ Limitations
7Confidentiality and Security
8Small Businesses Programs
12Contracting Methods & Bidding Procedures
15Contracts
16General Services Administration - GSA
17Advantages and Disadvantages of Selling to the Government
18Effects of Political Change
19Best Prospects for Small Businesses Entrepreneurs – By

Industry
21Other Government Trends
23CASES AND SUCCESS STORIES:
24Rose Wang &Binary Consulting Inc.
24Lurita Doan & New Technologies Management Inc.
25Turkish Firms Using DoD Procurement Programs
25Bavarian Nordic – Denmark, Biopharmaceutical Company
26Steps to Consider
28Difficulties
30Foreign Firms and US Government Contracts
31Strategies and Final Recommendations
32Conclusion
34REFERENCES
38APPENDIX
Selling to the Government: Best Prospects for Small
Entrepreneurial Firms
Introduction - Why Sell to the Government?
Selling to the United States government is a multi-billion dollar
market – per year. The size of this market cannot be given a
specific monetary value, due to the fact that every year, the U.S.
government spends more money than it did in the previous year.
Trends are showing that government spending increases every
year sometimes by as much as ten to twenty percent. Back in
the mid-1980s, selling to the government was roughly a $30
billion per year market (Black 1989). Since then, government
spending has increased more than ten fold. This is especially
apparent in the defense segment of the government. The United
States government will not hesitate to spend whatever it needs
to satisfy the wants of its defense, regardless of how much it
stands to lose or gain.
With a market this big, there is no end to the opportunities that
exist for the small business man or woman. This paper will
focus on the opportunities that exist for disadvantaged small
entrepreneurial firms who would like to sell to the government
and touch on what would be required for such a firm to do so.

The thought of having the government as a consumer of these
small disadvantaged businesses seems like an awkward
situation, but it provides for much of the growth of these small
firms, both domestic and foreign.
[See Definition in Appendix for Small/Disadvantaged/Minority
Firm]
Department of Defense (DoD) - Brief Information
The United States Department of Defense, created in 1949, is
the executive department of the government that watches over
everything involving or relating to national security and the
military (DoD “About DoD” 2007). Its headquarters is the
Pentagon, located in Arlington County, Virginia. The DoD has
more than 5 million employees, most of which are military
personnel, others high ranking officials and civilians. The DoD
is comprised of many agencies and organizations. To name a
few of the agencies that make up the DoD, there is the
Department of the Army, Department of the Navy (which
includes the United States Marine Corps), the Department of the
Air Force, Coast Guard, Department of Traffic (DOT), and the
Department of Homeland Security. These are just a few of the
many agencies that work together under the DoD.
Probably the most interesting thing to those interested in this
document is that IBM Corporation and the Department of
Defense have been recognized for their support and use of small
businesses outside of the government (McCrea 2003). Another
reason for mentioning the DoD is that it consumes a large
portion of the government’s budget to finance its operation.
The DoD encourages the use of small businesses whenever
possible. This business is contracted, and a minimum
percentage of these contracts must go to these small businesses.
With the current war situation, the DoD’s budget has been
increasing rapidly. The U.S. has been at war with Iraq since
2003. In 2005, the Department of Defense’s budget was
estimated to be $402 billion (DoD “Office of Management and
Budget” 2005). This estimate does not account for some
research, weapons testing, and design. In 2006, the budget was

$425 billion. In late-October 2006, the President raised the
defense budget for 2007 to $532.8 Billion (Garamone 2006). In
just two years, the defense budget increased roughly 30%.
Since last year alone, this is a 25% increase (an additional $107
Billion). Again, this is just to show that the government will
not hesitate to spend whatever it feels is necessary when it
comes to its defense.
There are a lot of things going on right now – with the war
overseas, the heightened state of security after September 11th
2001, there are so many jobs/chores that need to be taken care
of. Even with the large workforce of the government, there are
just too many things that need to be done for these individuals
to take on additional chores with their other responsibilities.
The government certainly has the money, so why not use it and
hire others to take on these assignments and help out business
for others?
Laws, Rules, Restrictions/ Limitations
Procurement and acquisitions by the government are regulated
by the Federal Acquisition Regulations found in Chapter 1 of
the Code of Federal Regulations (CFR) and maintained under
the authority granted to the Secretary of Defense, Administrator
of General Services and the Administrator, National
Aeronautics and Space Administration (FAR 1.000). The FAR
is amended and revised as needed by a council made up of the
Defense Acquisition Regulations Council (DAR Council) and
the Civilian Agency Acquisition Council (CAA Council) and
published by the General Services Administration (FAR 1.04).
DoD procurement is further governed by the Defense Federal
Acquisition Supplement (DFARS) found in Chapter 2 of the
CFR (DFARS 2.101). The public may propose changes to FAR
and DFARS by issuing a memorandum, in a specific format
contained in the FAR, which is then published for public
comment and reviewed by the attendant councils (FAR 1.501-2).

General certification requirements exist under these two
guidelines with the possibility for additional requirements by
branch of the DoD. Under the Office of Federal Procurement
Policy Act (41 U.S.C. 425), any new certification requirements
must be imposed by statute or be submitted in writing to the
Under Secretary of Defense for Acquisition, Technology and
Logistics (USD(AT&L)) and approved by the Secretary of
Defense (FAR 1.01).
Section 203.7001 of the DFARS requires that a contractor’s
system of management controls provide for (1) a written code of
business ethics and conduct and a training program for all
employees in these subjects; (2) periodic reviews of company
business practices, procedures, policies, and internal controls
for compliance with standards of conduct and the special
requirements of the government; (3) a mechanism by which
employees may report any suspected instances of improper
conduct; (4) internal and external audits; (5) disciplinary action
for improper conduct; (6) timely reporting to appropriate
government officials of suspected or possible violations or
irregularities in connection to government contacts; and (7)full
cooperation with government agencies responsible for
investigative or corrective actions. Contractors with DoD
contracts worth $5 million or more must display DoD Hotline
Posters prepared by the Inspector General unless the company
establishes its own hotline and actively encourages employees
to use it to report improper conduct or irregularities or the
contract is to be performed oversees (DFARS 252.203-7002).
The Anti-Kickback Act of 1986 (41 U.S.C. 51-58) makes it
illegal for subcontractors to make any kind of direct or indirect
payments to prime contractors in exchange for favorable
treatment in connection with a prime contract. Violators risk a
halt in payment of money owed to the subcontractor, criminal
penalties and lawsuits by the government to recover civil
penalties 41 U.S.C. 51-58 (FAR 3.502-2). Each company with a

prime contract of over $100,000 must institute the same kinds
of training and reporting practices as in the general contractor
requirements of the DFARS, but with a concentration on
kickbacks. Employees must also annually declare the gifts and
gratuities received from subcontractors.
Inconsistencies in contractor cost accounting practices led to
the establishment if the Cost Accounting Standards Board to
create a more consistent, uniform basis for negotiating and
administering fixed-price and cost-type procurement contracts.
Though not a set of rigid rules, the CAS does create a system of
options for the measurement of costs, assignment of costs to
cost accounting period, and the allocation of cost to cost
objectives (CAS 48 CFR 9903.302-1).
Confidentiality and Security
Because contracts with the government, in particular the DoD,
are often matters of national security, the DFARS has severe
restrictions on what kind of information may be disseminated by
contractors. Contractors may not release to anyone outside the
organization even unclassified information, regardless of
medium, that pertains to the contract or any program related to
the contract. (DFARS 204.404-70(a)). The only exceptions are
if the information is already in the public or domain or the
contractor submits a request for approval, in writing and 45
days prior, to the Contracting Officer specifying the information
to be released, the medium to be used, and the purpose for the
release (DFARS 204.404-70). Contractor employees approved
for the Top Secret (TS), Special Access Program (SAP), or
Sensitive Compartmented Information (SCI) must orally attest
that they will conform to the conditions and responsibilities
imposed by law or regulation on those granted access (DFARS
204.404-70).
Small Businesses Programs

The Small Business Reauthorization Act of 1997 increases the
overall government-wide procurement goal for small business
from 20% to 23% and increased funding for the Defense Loan &
Technical Assistance (DELTA) program to be administered by
the SBA to qualifying businesses effected by defense spending
cuts (SBRA 15 USC 631 note). The DoD’s goals for small
business contracts stand at 23% for prime contracts and 35% for
subcontracts, with $219.3 billion in prime contracts and $121.5
billion in subcontracts awarded to small businesses in 2005
(DoD OSBP Executive Summary). The DFARS states that
contracting officers shall give consideration to tiered small
businesses (HUBZone small businesses, service-disabled
veteran-owned small business, women-owned small businesses,
etc) unless the contracting officer performs marketing research
and determines that the agency’s needs cannot be met by a small
business (DFARS 219.201). All small businesses must qualify
under the requirements of the Small Business Administration
size standards, which vary based on industry and specific area
of business. For instance, a farm must have below $750,000,
while fishing operations must have less than $4 million, and
steam-and-air conditioning supply companies must have less
than $11.5 million (13 CFR part121). Some, like HUBZone and
Small Disadvantaged Businesses must get official certifications
from the SBA in order to qualify for DoD Small Business
Programs.
To that end, the Department of Defense has several Small
Business Programs. The Mentor-Protégé Program pairs small,
disadvantaged businesses with large companies in individual,
project-based Agreements. The Agreements specialize in
environmental remediation, engineering services, information
technology, manufacturing, telecommunications, and health care
and have become integral to many of the Mentors’ sourcing
strategies (“OSBP Program Overview” 2007). The Protégé
companies develop their business and technical capabilities
while creating long-term business relationships. The Small

Business Innovation Research Program (small technology firms)
and Small Business Technology Transfer Program (small firms
working with an educational institution) offer up to $850,000
($1 billion annually between them) to small companies engaged
in early-stage R &D that will result in products that will fill
DoD or have a commercial purpose (“OSBP Program Overview”
2007). Funding is awarded on a competitive basis and the
companies retain intellectual property rights to innovations
created under this program.
The Indian Incentive Program offers prime contractors a 5%
rebate on work or products subcontracted to Native American
organizations (“OSBP Program Overview” 2007). The Woman-
owned Small Business Program aims to reach the DoD’s goal of
having 5% of prime contracts or subcontracts awarded to
woman-owned and controlled businesses (“OSBP Program
Overview” 2007). All DoD subcontracting plans are required to
have a separate goal for awards to these businesses, with a
focus on effective outreach, training and technical assistance.
The Historically Black Colleges and Universities and Minority
Institutions Technical Assistance Program provides technical
assistance to minority institutions on the Department of
Education's annual listing of Accredited Postsecondary Minority
Institutions (“OSBP Program Overview” 2007). The
Comprehensive Subcontracting Plan Test Program authorizes
the negotiation, administration, and reporting of subcontracting
plans on a plant, division, or company-wide basis in an attempt
to determine whether comprehensive subcontracting plans
increase the number of small businesses contracting with the
government (“OSBP Program Overview” 2007). Eligible large
prime subcontractors (those who in the previous year have
performed 3 DoD contracts totaling at least $5 million and have
a SDB contracting rate of over 5%) allow the DoD to oversee
and plan their subcontracting for them.
There are two programs for veterans which use set-asides—the

regular Veteran-Owned Small Business Program and the
Service-Disabled Veteran-owned Small Business Program –
which court small businesses owned by veterans and the
spouses/caretakers of severely and permanently disabled
veterans and conducts market research on how to further include
those businesses in prime and subcontracts (US “Executive
Overview” 2007). The DoD in concert with the SBA also
participated in the Historically Underutilized Business Zone
(HUBZone) Empowerment Contracting Program, which provides
contracting preference to U.S.-citizens-owned businesses
located in HUBZones
and with 35% of its employees also living in the HUBZone.
The DoD’s goal is to award 3% of prime contracts to HUBZone
businesses, which will be partially achieved through the use of
set-aside contracts (US “Executive Overview” 2007).
Finally, the DoD encourages the use of Small Disadvantaged
Businesses (SDB) and 8(a) businesses. These businesses must
be certified by the SBA, and in the case of 8(a) businesses, be
active in the Business Development Plan for 9 years (US
“Government Contracting” 2007). SDB & 8(a) businesses are
likely to take part in the Mentor-Protégé program due to the
assistance and guidance they receive from the SBA and they
also qualify for some set-asides (“OSBP Program Overview”
2007).
DoD Program Goals for 2007
Small Business Category
Prime Contracts
Sub-contracts
Small Business
23%
35%
HUBZone
3%
***

Service-Disabled Veteran-Owned Small Business
3%
3%
Small Disadvantaged Business*
5.8%
5%
Women-Owned Business
5%
5%
Historically Black Colleges & Universities/Minority
Institutions****
5%
5%
* Includes 8(a)
*** HUBZone subcontracting program does not require a DoD-
wide goal but requires the negotiation of HUBZone goals in all
DoD contracts and subcontracts that require "Small Business
Subcontracting Plans."
**** Defense Components are not required by DoD to establish
separate HBCU/MI subcontracting targets. Instead these awards
should be included when developing the subcontracting targets
for Small Disadvantaged Business.
Contracting Methods & Bidding Procedures
Contracts worth less than $3,000 are not advertised and qualify
for the Micro-purchases policy, which means that contracts are
equally divided among qualified suppliers on the government
contractor list and payment may be made using government
purchasing cards (FAR 13.202) Contracts between $3,000-
$25,000 are also not advertised nationally, though they are
sometimes advertised locally and solicitations are oral or in the
form of a Request for Proposal, are usually reserved for small
businesses, and are governed under the Simplified Acquisition
Procedures (US “Government Contracting” 2007). Contracts

between $25,000 and $100,000 are advertised on the
FEDBIZOPPS website, solicited orally or through RFQ, qualify
for SAP, and reserved for small business set-asides. Contracts
over $100,000 are also advertised on FEDBIZOPPS, solicited
through an Invitation for Bid, RFP, are only subject to set-
asides if there are at least 2 capable 8(a), HUBZone, SD-VOSB,
or SB firms, and must be negotiated under formal contract rules
(US “Government Contracting” 2007).
When using Simplified Acquisition Procedures, purchasing
officers retrieve potential contractor information from the
Central Contractor Registration database and use the company’s
listed eligibility for DoD Small Business Programs(FAR
13.102) The contracting officer can then post a combined
synopsis and solicitation on FEDBIZOPPS provided that it
includes enough information for prospective contractors to
submit a quotation and indicates the basis on which the contract
will be awarded (FAR 13.105). The purchasing officer then
evaluates the quotations, determines whether the price is fair
and reasonable, and awards the contract, with the discretion of
paying for most contracts valued less than $25,000 with the
government purchasing card (FAR 13.106-3).
Government contracts are generally closed either through sealed
bidding or through negotiation. The sealed bidding procedure
involves the preparation of invitations for bids, which requires
that all specifications be stated “clearly, accurately, and
completely” and all relevant documents be included; publicizing
the invitation for bids through electronic and other public
posting; submission of bids, which must be sealed and opened
only in the designated time and place; the evaluation of bids
without discussions; and the contract award, which must be
firm-fixed-price in nature (FAR 14.101-14.103). All proposals
must be in exactly the format given by the solicitation or they
will not be considered.

Negotiated acquisitions begin with Requests for Proposals or
Requests for Information and are to be used in sole source and
competitive contracts in which price and price-related issues are
not to be the main determining factor (FAR 15). This method of
bidding does not always lead to contracts and may be used for
investigative purposes as when Requests for Information are
posted to gather information for market research. This method
also does not actually require negotiations unless the
contracting officer originally intended for negotiations to take
place and feels then necessary, so bidders should offer their best
terms in initial proposals (Lieberman 2007). The negotiated
procurement process also allows for a post-award debriefing, at
the written request of the bidding firm, which will inform the
rejected firms of the basis upon which the award decision was
made, which can help the firm with future bids (Lieberman
2007).
The contracting officer must provide pre-award notices to
bidders who did not win the contract informing them that they
were excluded from competition, the basis for the decision, that
revisions will not be considered, and information on the
apparent winner (FAR 15.503). Once the contract has been
awarded, a similar notice must be sent to bidders who were in
competition, but did not win the contract along with specific
information on the awards, including quantities, items, and
prices (FAR 15.503). Rejected contractors may lodge written
protests, though the case will be reviewed by the contracting
officer, who will issue a written decision after reviewing the
case and consulting with legal counsel (FAR 33.206). The
contracting officer’s decision may again be appealed to the
agency’s board of contract appeals within 90 days or the United
States Court of Federal Claims within 12 months (FAR 33.211).
Contracts
Contracts may be competitive, sole source, or full and open
competition. Competitive contracts are open to all applicants

who pass security screenings, sole source contracts are those
awarded when only one business fitting the criteria is available,
and open competition contracts are awarded when at least two
companies fitting the same criteria bid. Contracts must identify
separate products or services as separate contract line items and
use the Accounting classification reference number (ACRN), an
alpha/numeric code used as a method of relating the accounting
classification citation to detailed line item information (DFARS
204.7001). Requests for payment must identify the contract
line items on the payment request that reasonably reflect the
work performance and separately identify a payment amount for
each line item included in the payment request.
(DFARS204.7109)
Line items must fulfill four characteristics. Line items must
have a single unit price, unless the item is not separately priced
and its price is included with another line item, when there are
associated sublime items; when the products or services require
a cost-reimbursement contract; when the contract is for
maintenance and repair services whose price are already
included in total price; when the line item is only for reference;
or when it is of an indefinite delivery type and has a variable
price (204.7103-1). Line items must be separately identifiable
with only one national stock number, item description or
manufacturer’s part number for products and only one scope of
work and description of services for services. Line items must
also have separate delivery schedules, periods of performance,
or completion dated expressly stated and which may lead to the
establishment of additional line items. Finally, line items must
have a single accounting classification citation unless it is for a
single non-severable deliverable to be paid for with R&D
money incrementally over several years, to be paid for with
different authorizations and appropriations, or it a modification
of an existing line item where the modified items are to be paid
for with different classification citations (DFARS 204.7103-1).

Once a contract is signed, it is sent to the Defense Contract
Audit Agency, which will determine whether it is of the cost-
reimbursement; time-and-materials, labor-hour; fixed-price
provisions for redetermination of cost incentives, economic
price adjustment based on cost, or cost allowability; or any
other contract requiring audit services (DFARS 237.2). The
DCAA has the right to determine whether or not the pricing in
the contract is allowable under DoD standards.
General Services Administration – GSA
The General Services Administration is in charge of all products
and services that the government sells or buys. Like any other
client, there are several rules which each business must adhere
to in order to sell to the US government (GSA “How to sell”
2007). Most companies that sell to the US government do it
through contracts, and therefore deal with the awarding agency.
GSA contracts are advertised, awarded, and managed by GSA
headquarters and GSA regional offices. Managers of federal
buildings also purchase products and services which can be
contracted out to small businesses.
GSA contracts usually demand/ask for the following:
· General-purpose supplies, equipment, and services;
· Building construction, repair, and maintenance; and
· Information Technology and network services.
GSA also buys or leases:
· Office space and other real estate; and
· Vehicles for all federal agencies.
GSA advertises locally and nationally, all contracts over

$25,000 (USD) are advertised on fedbizzops.com. This site is
available 24 hours a day, seven days a week, and allows vendors
to register to receive e-mail notification of opportunities in
their areas of interest (GSA “How to sell” 2007).
Advantages and Disadvantages of Selling to the Government
One advantage of selling to the government is limited liability
thanks to the 1988 Supreme Court ruling in Boyle vs. United
Technologies Corp establishing the government contractor
defense, which protects government contractors from liability
for acts committed in the performance of a government contract
as long as it met government specifications (Napoleon and
Kinosky 1989). To use this defense, however, contractors must
seek approval for specifications from an ordering official who is
at least as knowledgeable as the contractor, the contractor must
warn the government of any damages in the use of the
contracted equipment, and the contractor should request
contracts contain specific language affirming that the
government inspected and approved the product (Napoleon and
Kinosky 1989).
Multiyear contracts with the government are more difficult to
get, since appropriations acts only allow them if the cost of the
multiyear contract is less than the cost of annual contracting
based on an analysis of present value. However, once the
contracts are signed they are more difficult for the government
to cancel because the DFARS requires that the head of the
agency provide written notice 10 days before termination of
multiyear contracts. (DFARS 217.170). The DoD also practices
prompt payment which, according to section 32 of FAR, means
that payments are due 30 days after receipt of invoice or after
the agency has accepted supplies or services performed. Some
small businesses, however, may be eligible for a higher
maximum in progress payments, a lower threshold for progress
payments or loans of up to $1.3million from the SBA through

the DELTA program to cover costs of purchasing working
capital, acquisition of assets, raw materials or inventory, capital
improvements or refinancing of current debts (SBRA 101).
Effects of Political Change
Because so many contracts are awarded annually, political
change can mean the end of a contract. The newly-elected
President and installed Secretary of Defense have the power to
exert some pressure—explicit or implicit—on contract awards
to people and organizations that contributed to campaigns or
have personal relationships with said officials. Recent scandals
involving corruption in the Legislative branch indicate that
Senators and Representatives also exert power over the awards.
For that reason, overdependence on DoD awards is inadvisable
unless in an industry where there are not many alternatives.
Best Prospects for Small Businesses Entrepreneurs – By
Industry
There are many growing industries that might allow the best
growth opportunities for small/minority businesses. In 2005,
The Boston Consulting Group released a document titled “The
New Agenda For Minority Business Development.” The
document goes on to mention the various opportunities that
exist for these firms with the government and agencies such as
the DoD. Though the document did not tell of specific
industries which were growing and/or receiving more
government contracts, it did highlight the industries in which
minorities saw the most growth. There seems to be difficulty
finding census, market research, and/or statistical data on
‘specific government contract industries’ and ‘job subsets’;
narrowing the search down even more to ‘small and or minority
businesses’ often drives the results down to zero. Government
document centers still could not locate this type of information.
In a way, it does make sense – the government does not approve
of discrimination. The contract bidding process is supposed to

be fair and equal for all bidders. It does not have required
percentages for contracts in each industry; it has set goals and
tries to make sure that a minimum percentage of contracts reach
the entire small/minority business population.
In the research found, industries that offered the best potential
for these entrepreneurs included (The Boston Consulting Group
2005) [See Figures 1 - 3]:
Services
Things such as maintenance, housekeeping, janitorial services,
advertising, printing, et cetera. This also includes personal
services to individuals such as barber shops, dry cleaning
plants, laundries, and photo development studios.
Retail and Wholesale Trade
Supply chain channels that provide merchandise (example –
distributors that carry items such as computers, hardware,
equipment, food, general purpose supplies, et cetera).
Special Trades/Skill Contractors (Mainly Construction)
Take on activities such as building construction, mobile home
and auto repair, and other non building projects.
Manufacturing
The manufacturing of products and components; usually at a
reasonable capacity (examples – pharmaceuticals, parts, et
cetera).
Transportation
The transportation of goods and other products - referring to
logistics, shipping, trucking, et cetera.
Information Technology, Communication, and other Utilities
This includes software, products & services, as well as technical
support services and personnel.

Food Stores & Eating and Drinking establishments
Provide food preparation and consumption (example – dining
establishments and catering).
Apparel and Other Textile Products
Needle trades that produce clothing and other fabricating
products by cutting and sewing purchased materials such as
leather, rubberized fabrics, plastics, and furs (example – vests,
flame-retardant fabrics, et cetera)
The consulting group did a great job of showing the different
industries that minority businesses should consider, represented
in a BCG matrix (The Boston Consulting Group 2005).[See
Figure 4] The matrix gives firms a better idea of what these
businesses should avoid and pursuit. It also allows them to
make more strategic and rational decisions, such as considering
if it is worth it to discontinue pursuit of low-growth and no-
growth segments.
Other Government Trends
Today, a good amount of the government’s effort is going
towards finding solution providers and better IT infrastructure.
Global communication is always adapting to technology.
Improvements have cost the federal government more than $58
billion of its annual budget in this area alone (Dunn 2004). The
United States government wants to improve these technologies
to allow for better interagency defense communication. This
means everything – satellite and wireless communication
technologies, VOIP (voice over internet protocol) systems, and
many others. Bringing it down a level, federal law enforcement
agencies have launched a project to build new wireless
communications networks to allow agents and personnel from
the FBI, Department of Homeland Security, Secret Service, and
many other agencies (including state and local agencies), to
communicate with each other. The military has shown strong
interests in these developments because it allows soldiers to
communicate and send/receive information all around the world
– even in the most remote locations. Some of the most
advanced communication systems exist within the military.

However, even the simplest communication systems are
appreciated by those serving in the military. For example, the
U.S. Army recently established a number of working "internet
cafes," employing Segovia satellite communications technology
that allows U.S. soldiers in the Middle East to go online and
communicate with friends and family back home (Dunn 2004).
CASES AND SUCCESS STORIES:
Cynthia Petterson & Princess Knitwear Inc. – New York,
Apparel Company
In July of 2003, Cynthia Petterson, President of NY Princess
Knitwear Inc., won a bid for a $4 million DoD contract with
help from Small Business Services (“Mayor Michael R.
Bloomberg announces” 2003). Her business will now be
responsible for providing the Navy with 150,000 jerseys per
year, for a total of for years (600,000 jerseys). The contract
would allow her business to remain open after economic
pressures and September 11th. During the recession, Petterson
was not sure how long she was going to be able to remain in
business. When she won the bid, she knew that she had a
promising future for the business. At the time she had fewer
than 20 employees. It allowed her to expand her business and
hire more workers.
· In New York, 98% of the businesses are owned by small
businesses. The State has several small business programs that
help to see that they do have business – the business is good for
the state. (http://www.nylovessmallbiz.com/growing_
a_business/ technical_assistance.asp).
Rose Wang &Binary Consulting Inc.
Rose Wang worked in Silicon Valley for several years before
moving east to launch her entrepreneurial career. At first, she
had what she calls a "rent-a-CTO" practice, serving large and
small companies. But that quickly changed after the terrorist
attacks of Sept. 11, 2001. He’s the founder and CEO of Binary
Consulting Inc.

Binary Consulting expects to earn close to $20 million this year,
compared to $13 million in 2005. Its biggest clients are the
Defense Department's Office of the CIO, Defense Information
Security Agency, Navy and Office of the Assistant Secretary of
Defense for Networks and Information Integration. The
company expects to have more work from the Air Force soon.
However, Wang has declined to name the contracts or go into
specifics. Binary Consulting is number eight on the Fast 50
list, with a compound annual growth rate over five years of
125.2 percent (Gerin 2006). ** The Fast 50 list is the
governments list of the fifty fastest growing small businesses
for government contracts.
Lurita Doan & New Technologies Management Inc.
Mrs. Lurita Doan was the founder and owner of NTMI before
becoming administrator of GSA (Palmer 2007). While she
owned NTMI, she won a bid for a $250,000 Navy contract in
1993. At that time, the bid allowed her to hire her first three
employees. Mrs. Doan was eligible for the contract because her
business was wholly-owned by herself, a woman. She supplied
the Navy with technological products before selling the
company off after the contract was over. Since then, NTMI has
won several federal contracts in excess of $200 million a year to
supply technology products to many additional agencies, such
as the Army, Air Force, Customs, INS, and Homeland Security
(Palmer 2007). These products provide information to workers
and help with this such as border patrol.
Turkish Firms Using DoD Procurement Programs
The International Turkish Mentor-Protégé Program was set up
in order to help match qualified Turkish firms with qualified
U.S. small, minority-owned firms (Steelman and Asciola 1992).
It is a strategy Turkish firms are using to access the DoD
market and make use of its capabilities for small, disadvantaged
firms. Foreign participation in the U.S. defense market was
said to be helped by two factors at the time: DoD attitudes

toward the acquisition and use of foreign equipment; and, the
U.S. government’s insistence on broadening the competitive
base of its defense procurement.
Bavarian Nordic – Denmark, Biopharmaceutical Company
In June 2007, the United States government awarded a $500
million contract to the Danish biopharmaceutical company
Bavarian Nordic (Scott 2007). The company was paid $125
million up front for the first two years that it will be in
production. The contract requested the production of more than
20 million doses of the smallpox vaccine. Reasons for the U.S.
request for these vaccines are to combat illnesses for at-risk
individuals such as children, the elderly, those infected with
HIV. It would also be a measure to protect itself from
bioterrorist attacks.
Steps to Consider
The Department of Defense’s Office of Small Business
Management offers the following steps to small businesses
aiming to do business with the government (“Guide to DoD”
2007):
1. Identify Product or Service
Products and services must be identified using the Federal
Supply Class or Service (FSC/SVC) and North American
Industry Classification System (NAICS) codes as they are listed
according to these codes.
2. Register Business
Obtain a Data Universal Number System (DUNS) identification
number from Dun and Bradstreet and register with the Central
Contractor Registration (CCR) database. The CCR database
stores information on contractors and transactions, facilitates
electronic payment and is used to identify small businesses for

contracting opportunities.
3. Identify Target Market within DoD
Use the DoD Personnel & Procurement Statistics page to gauge
procurement opportunities, especially the Standard Tabulation
28 report, which provides general information on what the DoD
has purchased in the last year. Specific information can be
gained by comparing this report with the needs of the Small
Business Specialists within each agency.
4. Identify Current DoD Procurement Opportunities
Check the Federal Business Opportunities website
(www.fedbizopps.gov) for posted procurement opportunities.
5. Familiarize Yourself with DoD Contracting Procedures
Learn the Federal Acquisition Regulations (FAR) and Defense
Federal Acquisition Regulation Supplement (DFARS)
procedures/
6. Investigate Federal Supply Schedule (FSS) Contracts
Federal Supply Schedule (FSS) contracts administered by the
GSA supply many of the DoD’s purchases.
7. Seek Additional Assistance as Needed
Assistance for small businesses is available through several
areas. Procurement Technical Assistance Centers (PTACs) are
provided by the DoD in most states to provide information and
marketing, financial, and contracting counseling to small
businesses at minimal cost. The eBusiness
(http://www.defenselink.mil/bta/) section at the DoD
DefenseLink website assists in the basics of the DoD
marketplace. Small Business Specialists within agencies assist

small businesses in marketing to the DoD. They provide
information on procurement procedures, help place businesses
on solicitation mailing lists, and help identify prime contract
and subcontract opportunities.
Other small business owners and even personal employees can
offer assistance. Communication and networking can help to
solve many problems. Read about how things changed for
Vistage International when a Mr. Alfredo Casta started working
for the company.
“Alfredo Casta joined a local chapter of Vistage International
Inc., a company that facilitates monthly meetings of CEOs in
different locations around the world. The executives advise
their peers to share opinions and advice on business plans, talk
about challenges they have faced and present solutions to
problems” (Gerin 2006). These practices help to solve some of
the inefficiencies and problems that exist within the business.
8. Explore Sub-contracting Opportunities
Use the Subcontracting Opportunities with DoD Prime
Contractors directory to find larger firms or Small Business
Liaison Officers who may offer opportunities in the secondary
market. These opportunities do not end at simple
subcontracting, but may actually include subcontracts from
subcontractors. Another place to look for subcontracting
opportunities is the SBA’s SUB-Net resource, which includes
postings from prime contractors, and other government,
commercial, and educational parties.
9. Investigate DoD Small-Business Programs
Learn the specifics of the various Small Business Programs the
DoD offers and contact SBA and DoD coordinators to ensure
participation.

10. Market the Firm Well!
Using knowledge gained from the previous steps, present
capabilities in as succinct and specific a manner as possible to
the DoD procurement agents involved.
Difficulties
There are six main weaknesses in current local government data
gathering and analysis methods that contribute to the disparity
in support of minority contracting programs (Martin 2007):
Appropriate data is not tracked: the government must use
availability figures of qualified firms. Firms that are qualified
mean that they are ready, willing and able to compete for
contracts.
For example a survey done in Denver to determine the number
of
qualified firms in the area. The questions included revenues,
length of
time in the business, ethnical, race, religion, and gender
classifications.
But the survey neglected to ask whether the firms where pre
qualified,
bonded, insured, licensed or certified.
Local information is not used: When looking for data most
localities used surveys conducted in minority and women owned
businesses, which is released every five years. Some of the data
is inconsistent.
Data gathered is too general: Databases used should be as
specific as possible and updated as well. All groups within the
locality must be evaluated separately. If this is not the case then
groups may suffer from discrimination seeing as all of them are
in one entire category.

Inconsistent sources of information are used: Figures must come
from the same areas and use the same methods of analysis and
collection.
The term minority is not defined consistently: The definition of
the term “minority” is different from that of the program’s
legislation which has to be the same definition as in the
programmatic documents.
Disparity is not always linked to discrimination: A regression
analysis can tell if there are disparities factors involved and
after these factors have been ruled out discrimination can be
cited as the cause of inconsistency. In other words, do not
confuse both terms.
In reality, there are many difficulties for small businesses.
Narrow qualifications and disparities such as those listed above
make it hard for some businesses to qualify for these
opportunities (The Boston Consulting Group 2005). In addition
to that, there is also the mindset of many minorities in which
they believe they must finance everything personally – with
help from the family, using equity, and other tools. Many
minorities have a problem when it comes to taking on debt, so
they say “no” to debt financing (The Boston Consulting Group
2005). Other difficulties include dealing with the registration
process and clearances, because they can be lengthy at times.
Some states, such as California with its Proposition 209, do not
establish targets or objectives for disadvantaged businesses; this
makes it harder for small firms to get contracts in these areas.
[See Figure 5].
Foreign Firms and US Government Contracts
The United States does award government contracts to foreign
firms. However, there is hardly any documented information
available on U.S. government contracts awarded to small
foreign business owners as small as Cynthia Petterson. The
documents available report more important things such as tank
production for U.S. defense and vaccine production. However
there are a lot of issues surrounding national security and

sometimes there are no clearances for dealing with certain
foreign countries. It is a matter of security and heavily
regulated by the U.S. Government.
Strategies and Final Recommendations
Based on the research, there are multiple things which small
businesses, domestic or foreign, may consider. One of the first
things mentioned was to deciding early on what to offer, where
and when to start, and what agencies to target. Waiting until
the business begins to struggle would not be a great time to start
bidding on government contract opportunities. Starting early
while the business is still young and healthy can allow it to
move through growth stages faster and easier.
Explore subcontracting opportunities as well. There are just as
many subcontracting opportunities available as there are prime
contracts. Business is business; and, even though it may sound
cliché, additional business won’t hurt and can only help to
foster growth; ‘inch-by-inch,’ because a little can go a long
way.
While it is a bit more difficult for small foreign firms to win
bids on U.S. government contracts, they can try to attract
venture capitalists. Or, they can form strategic partnerships and
alliances with small U.S. firms. In situations such as these,
both firms can enjoy technologies and other things that each has
to offer. Partnering with a U.S. firm can allow the bidding
process to work in a foreign firm’s favor. On top of that, the
two firms working together can create a higher capacity and
gain access to materials and other things that they otherwise
could not. Expanding the use of mergers, acquisitions, and
strategic partnerships should be considered for both, domestic
and foreign businesses.
Conclusion
Selling to the United States government is a multi-billion dollar

market. With the United States Department of Defense’s large
budget and increases in procurement, along with its support for
minority and/or small disadvantaged businesses, there is no
reason why there should not be any entrepreneurs. Selling to
the government has proven to be a very profitable industry for
those who win bids on government contracts. These contracts
often lead to business growth and unlimited opportunities. It is
great that the DoD has set aside a policy to support the minority
business community by setting minimum percentages of
contracts to hand out to these small businesses.
Businesses choosing to operate in this market must follow the
rules and regulations (FAR & DFARS) set by the many
agencies, such as GSA and the SBA, that participate in
government business. Business must qualify and register, as
well as complete a number of steps before they can start biding
on government contracts. For foreign firms, there can be a bit
more difficulty – but, it is more like a challenge. There are a
number of agencies that offer technical and financial support for
these businesses.
After registering and completing all the requirements, it is
important to develop a strategy. Determine what organizations
or agencies to target and what services to offer. Is an alignment
or partnership necessary? [See Figure 6] What would be more
beneficial? Firms should make sure that they are aware of the
terms of their contract, and urgency of time. Exploring other
opportunities such as subcontracting also would not hurt. What
it all boils down to is the firms’ strategic thinking and ability to
market the firm well. Firms that sell to the government tend to
do very well – contracts are hard for the government to get out
of so it promises firms business for the length of the contract,
allowing firms to expand operations, employ more workers, and
generate more profits. While doing all of this, it creates more
economic activity for the country and can also bring
advancements and innovations in technology.

Currently, the best prospects for small business entrepreneurs to
pursuit are: services (personal or general – dry cleaning,
janitorial, photo development, printing, advertising), retail &
wholesale (distributors of merchandise with good supply chain
management), special trades/skills (construction, welding, auto
repair), manufacturing (pharmaceuticals, auto parts, industrial
parts), transportation (shipping and trucking logistics), IT &
communications (VOIP, software, ISPs), textiles (apparel,
fabrics, materials), and food & drinking establishments (food
products and catering services). These were the industries that
small firms saw the most growth. The information found in this
research is very useful and hopefully will be used by a firm
planning on selling to the government. Are all the bids in?
REFERENCES
Anti-Kickback Act of 1986 (41 U.S.C. 51-58)
Black, Hawley. How to Sell to the Government: The 30 Billion
Dollar Market. 1989.
Macmillan: Canada.
The Boston Consulting Group. “The New Agenda for Minority
Business Development.”
2005. Google Scholar. Accessed 7 Aug. 2007 *Study was posted
on the
Entrepreneurship & Education at the Ewing Marion Kauffman
Foundaton
website.
<http://www.kauffman.org/pdf/minority_entrep_62805_report.p
df>

Cost Accounting Standards 48 CFR pt. 9903
"Comprehensive Subcontracting Plan Requirements." CSP.
Department of Defense Office of Small Business Programs. 10
Aug 2007
<http://www.acq.osd.mil/osbp/programs/csp/requirements.html>
.
Defense Federal Acquisition Regulation 48 CFR Chapter 2
Department of Defense (DoD). “About DoD.” 2007. Google. 25
July 2007.
<http://www.defenselink.mil/pubs/dod101/index.html>
Department of Defense (DoD). “Office of Management and
Budget.” 2005. Google.
25 July 2007.
<http://www.whitehouse.gov/omb/budget/fy2005/defense.html>.
Dunn, Jim. "Time To Cash In On Two Trends. " VARbusiness
25 Oct. 2004: G.30. ABI/INFORM Trade & Industry. ProQuest.
FIU Library
Miami, FL. 10 Aug.
2007 <http://www.proquest.com.ezproxy.fiu.edu/>
Federal Acquisition Regulation. 48 CFR Chapter 1
Garamone, Jim. “President signs 2007 Defense Authourization
Act.” 17 Oct. 2006.
American Forces Press Service: Defense Link News Article. 2
Aug. 2007.
<http://www.defenselink.mil/news/NewsArticle.aspx?ID=1650>

General Services Administration (GSA). "How to sell to the
government." 20 Feb. 2007.
Google. 2 Aug. 2007
<http://www.gsa.gov/Portal/gsa/ep/contentView.do?content
Type=GSA_BASIC&contentId=13439>
Gerin, Roseanne. "Shh! We have a secret: Fast 50 execs share
how they've risen to the
top." 16 Oct. 2006. Washington Technology. 2 Aug. 2007
<http://www.washingtontechnology.com/print/21_20/29498-
1.html>
“Guide to DoD Contracting Opportunities: A Step-by-Step
Approach to the DoD Marketplace.” Department of Defense
Office of Small Business Programs. 16 May 2007. Google. 4
Aug. 2007
<http://www.acq.osd.mil/osbp/doing_business/DoD_Contracting
_Guide.htm>
"HUBZone: Who we are." Small Business Administration. Small
Business Administration. 9 Aug. 2007
<https://eweb1.sba.gov/hubzone/internet/general/whoweare.cfm
>.
Lieberman, Richard D. "10 BIG Mistakes in Government
Contract Bidding. " Contract Management 1 Jan. 2007: 30-
38. ABI/INFORM Global. ProQuest. Florida International
University, Miami, FL. 10 Aug.
2007 <http://www.proquest.com/>
Martin, Heather & Maureen Berner & Frayda Bluestein.
"Documenting Disparity in
Minority Contracting: Legal Requirements and
Recommendations for Policy

Makers. " Public Administration Review 67.3 (2007): 511-
520. ABI/INFORM
Global. ProQuest. FIU Library Miami, FL. 10 Aug. 2007
<http://www.proquest.com.ezproxy.fiu.edu/>
“Mayor Michael R. Bloomberg announces four million dollar
government contract
awarded to Bronx small business.” NYC.GOV. 24 July 2003
Google. 2 Aug.
2007
<http://www.nyc.gov/portal/site/nycgov/menuitem.c0935b9a57b
b4ef3daf2
f1c701c789a0/index.jsp?pageID=mayor_press_release&catID=1
194&doc_name=
http%3A%2F%2Fwww.nyc.gov%2Fhtml%2Fom%2Fhtml%2F20
03b%2Fpr2110
3.html&cc=unused1978&rc=1194&ndi=1>
McCrea, Bridget. "Minority Business Opportunites: Resource
Portal rates IBM and DoD
best for multicultural firms. " Black Enterprise
1 July 2003: 38. ABI/INFORM
Global. ProQuest. FIU Library Miami, FL. 25 July
Napoleon, Vincent J. , and Barbara S. Kinosky. "The
Government Contractor Defense: Its Implications in the Wake
of Boyle v. United Technologies Corporation; Commentary:
Another Perspective on Boyle v. United Technologies
Corporation ." National Contract Management Journal 23(1989):

65-76.
"OSBP Program Overview." Department of Defense Office of
Small Business Programs. Department of Defense Office of
Small Business Programs. 20 June 2007. Google. 4 Aug. 2007
<http://www.acq.osd.mil/osbp/programs/index.htm>.
Palmer, Kimberly. "Fast Track. " Government Executive
1 Feb. 2007: 56-
57. ABI/INFORM Global. ProQuest. FIU Library Miami, FL. 4
Aug.
Scott, Alex. "Danish Biopharma Company Secures $500-Million
U.S. Contract. "
Chemical Week 20 Jun 2007: 31. ABI/INFORM
Global. ProQuest. FIU Library
Miami, FL. 7 Aug.
Small Business Reauthorization Act of 1997 15 USC 631 note
Small Business Size Regulations,13 CFR 121.201
Steelman, J. Robert, Asciola, Gregory S.. "The U.S. Defense
Market: How Turkish Firms
Can Use DOD Programs to Boost Sales. " Middle East
Executive Reports
1 Jun 1992: 8. ABI/INFORM Global. ProQuest. FIU Library
Miami, FL. 7 Aug.

United States.Department of Defense Office of Small Business
Programs. “Guide to DoD Contracting Procedures: ‘A Step-by-
Step Approach to the DoD Marketplace.’” [Arlington, VA.:] 17
May 2007 Google. 27 July 2007
<http://www.acq.osd.mil/osbp/doing_business/DoD_Contracting
_Guide.htm>
United States. Department of Defense Office of Small Business
Programs. “FY2007 Executive Overview” [Arlington, VA:]
2007. Google. 27 July 2007
United States. Department of Defense Office of Small Business
Programs. “Government
Contracting: The Basics” [Arlington, VA:] 2007. Google. 27
July 2007
APPENDIX
Small/Disadvantaged/Minority Firm:
Classified according to industry, net worth, annual profits,
leadership, race, gender, and other criterion. Usually, these
businesses often lack the size, scale, and capabilities of their
major competitors (The Boston Consulting Group 2005).
Figure 1:
*(The Boston Consulting Group 2005)
Figure 2:
Figure 3
Figure 4:

Figure 5:
Figure 6:
� An SDB concern as defined at 219.001, paragraph (1) of the
definition of "small disadvantaged business concern," or
A qualified organization employing the severely disabled as
defined in Section 8064A of Public Law 102-172, or
Small business concern owned and controlled by women as
defined in Section 8064A of Public Law 102-172, or
Service-disabled veteran-owned small business as defined in
Section 8(d)(3) of the Small Business Act (15 U.S.C.
637(d)(3)), or
HUBZone as determined by the SBA in accordance with 13 CFR
part 126.
� As defined by the SBA, a "HUBZone" is an area that is
located in one or more of the following:
a qualified census tract (as defined in section 42(d)(5)(C)(i)(I)
of the Internal Revenue Code of 1986);

a qualified "non-metropolitan county" (as defined in section
143(k)(2)(B) of the Internal Revenue Code of 1986) with a
median household income of less than 80 percent of the State
median household income or with an unemployment rate of not
less than 140 percent of the statewide average, based on US
Department of Labor recent data; or
lands within the boundaries of federally recognized Indian
reservations.
MAN4602 ONLINE, Spring 2019 Short Semester (Group
Projects)
GROUP ASSIGNMENTS
All research papers are to present a thorough introduction and
comprehensive analysis of the topic/issue, use of specific
examples or cases, statistical information (numbers, charts,
graphics), utilization of information from the key articles and
books on the issue, a fair and balanced evaluation of the topic,
original thinking on your part, and business or business-
government policy and decision recommendations. In-text
citations, footnotes (where necessary), and a complete listing
of references are required. Web-based citations should be used
minimally. Do seek the guidance of FlU business librarian
Sarah Hammill ([email protected]) or phone 305 348 3009.

Suggested organization for the project paper:
A. Overview of the topic
B. Critical issues
C. Presentation of the core information that addresses the topic
D. Analysis
E. Conclusions and recommendations
F. Charts and tables (or you can incorporate these throughout
the paper)
G. References
1. E-business Marketing Strategies in Global Business. Present
the current status of e- business in Europe, Asia, and Latin
America-issues, problems, opportunities, and a statistical
picture each region. Identify the current and potential market,
strategies that work as well as those that have failed, and
present 3-4 "best practices" or success stories that new entrants
may wish to consider as they embark upon e-business in each of
the three regions.
2. Managing Innovation in the Multinational Firm. Innovation,
in all its dimensions, is a critical determinant of business
success in the 21st century. It is more than technology and can
encompass management, design, customer service, and other
features of a company's operations. Present and analyze one or
more aspects of innovation in the international firm, evaluate it
critically, discuss its impact on internal firm operations,
customers, and shareholders. Emphasize the challenges of
managing innovation in the firm and provide a blueprint for
successfully implementing and managing innovation in
companies.
3. Industrial Promotion and Foreign Direct Investment in
Emerging Markets. The opening of emerging markets and
global trade and investment have increased the competition
among developing nations to attract foreign direct investment
in export manufacturing "clusters" (e.g., Guadalajara in

electronics, Bangalore in software, Istanbul in textiles). Identify
and analyze one country's national and provincial efforts
(principal policies, laws, regulations) to attract, retain, and
expand foreign direct investment. Review the literature on
"clusters" and value chains (see website of Institute of
Development Studies, University of Sussex) and focus on one or
two clusters in that country, highlighting one or two industries,
and assess the effectiveness of industrial promotion policies,
citing corporate responses to these incentives.
4. Strategic Alliances: Why They Work, Why They Fail.
Increasing competition is causing even rivals to work together
to survive and thrive in the global economy. Strategic
alliances are one way. In many instances, they work well; in
others, they do not achieve their expected results. Where, when,
and why do they work-give examples; where when, and why do
they fail-give examples. Suggest guidelines and actions firms
should follow to ensure a successful strategic alliance.
5. Global Competition in the Smartphone Market. Whether it is
the HTC, iPhone, Samsung Galaxy, LG, Nokia, and Google, in
smartphones are Apple iOS versus Adroid in operating systems,
global competition is intensifying. Choose three phones or two
operating systems and analyze the strategies, execution and
performance of these competitors within the global
marketplace--the entire world or just one region--and offer an
assessment and recommendation as to which company or
companies will be the big winner in this contest.
6. Globalization of the Fast Food Industry. From KFC in the
USA, Pollo Campero (Guatemala), and Bob’s (Brazil), the fast
food industry continues to globalize. Provide an overview of the
international fast food industry, including size, presence, and
product mix and cite and analyze the strengths, opportunities
and shortcomings of the industry and winning strategies of 4
leading fast food companies.
7. Global Outlook for the Luxury Goods Industry. High growth
markets in Russia, China and the Gulf States are fueling the
expansion of luxury goods sales along with the trend of global

economic recovery from the 2008-2009 recession. Jewelry,
yachts, cars, planes, clothing, accessories, and footwear are all
experiencing growth. Provide a macro overview of the entire
luxury goods industry, including size, scope, growth rate, and
product category. Select three product categories and provide an
in-depth analysis of how the 4 P's ---product, price, promotion
and place--are addressed by world-class luxury goods
producers. Compare and contrast and provide a forecast for
where the three product categories are heading.
8. The International Arms Industry--Status and Outlook. Over
$1.5 trillion are spent on military expenditures worldwide (2.7%
of world GDP). The U.S., Russia, Germany, France and China
are the largest arms exporters. With continuing tensions and
conflicts in many regions of the world, along with the alleged
need of nations to expand and upgrade their military
capabilities, the arms industry will continue to flourish.
Document the size and scope of the arms industry and focus on
three segments (e.g.,military aircraft, light arms, anti-terrorism
systems and equipment) and investigate and analyze the export
strategies, promotional schemes and financing options that arms
exporters use to achieve success in foreign markets.
9. The Global Market for Alternative Energy. Irrespective of the
price of oil in the global market, the search continues for cost-
effective and clean energy—sourced from sugarcane, corn,
switchgrass, wind and other natural sources. This is especially
true among nations and industries that are very energy-
intensive. Provide a thorough research of the evolution of the
alternative energy industry during the last decade. What are the
positives and negatives of adopting alternative energy among
companies? Which have the greatest potential? Please cite and
explain examples of best cases adopted by firms and nations.
Provide an outlook for alternative energy globally, recognizing
that fossil fuels are becoming both cleaner and more affordable.
10. The Problem of International Money Laundering. In recent
years, increasing attention has focused on international money
laundering--criminal groups such as the Russian mafia, terrorist

networks, and rogue states such as Iran have ingeniously found
way to launder money for their illicit purposes. Provide an
overview of international money laundering--its sources,
operations, and the strategies and operations that governments
employ to monitor it, root it out, and punish perpetrators.
Highlight the winning strategies and actions that are used to
achieve success in attacking the global money laundering
problem.
1

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