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The existing economic environment is stable for the defense industry, and customer confidence will change positively in H1 2016 (January 2016- June 2016). Companies are optimistic about growth prospects during the next six months, due to expectations of higher expenditure on new product development, research and analysis, and a renewed focus on improving operational efficiency and customer retention. Sales will be higher in North America during H1 2016, and spend will increase slightly on mergers and acquisitions over the next six months.
- In total, 43% and 34% of industry executives indicate favorable or very favorable economic conditions in North America and Asia
- One-third of industry executives anticipate no change in customer confidence in the next six months
- On average, defense industry executives forecast an increase of 3.0% in supplier prices for technology in H1 2016
- New product development is the key area where respondents expect to spend more in the next six months
- Executives who operate in North America highlight cyber crime as the biggest concern for H1 2016
- Improving operational efficiency and customer retention are the two main priorities for global defense industry over the next six months
Strategic Defence Intelligence's defense Industry Business Confidence Report H1 2016 presents executives' opinion on the business environment over January 2016-June 2016. Organizations can understand the market by analyzing existing economic conditions, supplier price variations, sales performance, industry and company growth outlook, spending patterns, and key priorities. Additionally, organizations will have access to information categorized by region wherever applicable.