Commercial Development of Space: Government/Industry Relationship

Abstract

B government, the public sector, and industry, the private sector, undertake programs that are aimed at influencing private-sector investment decisions. These investment decisions encompass those of commercial organizations as well as those of individuals. For firms, these investment decisions range from corporate strategy decisions, such as whether or not to enter a new business area (for example, become a provider of satellite communication services), to capital investment decisions, such as which satellite launch service provider to utilize. For individuals, these capital investment decisions range from equipment replacement (replete with considerations of tradeoffs between higher nonrecurring cost and lower recurring costs and fuel choice) to the acquisition of new products and/or services made possible by the introduction of new/advanced technology. The private sector undertakes research, development, demonstration, and advertising/promotion projects that lead to increased producer and consumer investments and to the formation of commercial ventures. To a large extent, these programs are undertaken with the expressed intent of maintaining or increasing the value of the firm. A vast array of governmentsponsored programs are undertaken with the specific objective of developing technology and/or creating the environment that will lead to increased private sector investment and the formation of commercial ventures that are in the public interest. These encompass research, development,