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Lockheed Martin corporation

Abdussamet Akca

1/23/2022

Lockheed Martin corporation

Lockheed Martin Corporation is the world’s largest defense company. Lockheed Martin Corporation was formed by the merger between Glenn L. Martin Company and Lockheed Aircraft company. The merging of the two companies happened in 1995 after the two CEOs agreed to work together. After the formation of Lockheed Martin corporation in 1995, Daniel M. Tellep became the first CEO of the merger, while Augustine became the first president. Lockheed Martin corporation became the biggest defense company in the whole world after the merger in 1995.

Lockheed Martin Corporation, now headquartered in Bethesda, Maryland, after its formation, focused on aerospace technology, is used to collect the information which it supplies to the government. Martin corporation is mainly concerned with different types of businesses such as Space and Missiles, information technology, electronics, and aeronautics. The early growth of Lockheed Martin corporation was mainly through the acquisition of other companies, for example, the acquisition of Loral Corporation in 1996. The current Chief executive officer of Lockheed Martin corporation is James Taiclet, who simultaneously serves as chairman and president of the corporation.

Lockheed Martin Corporation is both aerospace technology and security company. Lockheed Martin corporation belongs to the Advanced Technological information security Aerospace industry. Lockheed is classified into segments and sections depending on the type of business it carries out. These segments form the sub-industry, which includes Military, aerospace, and defense or Civil aviation sub-industries. According to https://csimarket.com, Lockheed Martin Corporation has a market share of 28.77% in the aeronautics segment. Lockheed Martin corporation occupies a larger market share of the Advanced Technologies, information, security Aerospace defense industry.

Lockheed Martin corporation faces competition from several other companies which provide similar services as one of them provides. Lockheed Martin corporation faces competition in all its business segments, including aerospace, information technology, and aeronautics technology. Some competitors of Lockheed Corporation include Boeing, General Dynamics, BAE system, L3Harris Technologies, and many others. Some of these companies have a long history in defense, space, and security systems than even Lockheed Martin corporation, which makes them offer better services to their customers. All of the companies are involved in developing, designing, and manufacturing technologies used in defense and aerospace systems.

Competition from other companies in the many threats to Lockheed Martin Corporation. Companies such as Boeing and BAE systems enjoy a huge capital base that allows them to carry out research and develop more sophisticated technology. Development of better technology as compared to Lockheed Martin corporation paces them at an advantageous position. To avoid the threats, Lockheed Martin corporation should take any available opportunity and capitalize on it. Lockheed Martin needs to invest more by launching more satellites and sensors in space. The company needs to employ qualified employees and train more people to help in the development of the company.

Regulation by the government can have a significant impact on the company's performance. Companies operating in security defense and aerospace need to obtain a permit from the state. The license and permits regulate the activities carried out by the company. The company has to act within the permit and license provided to them. According to Petrescu et al. (2017), regulation is used by the government to create monopolies of the corporation, which affects other businesses negatively. Any action which is not licensed is usually considered illegal, and it attracts punishment to the company. Corporate taxes, which the government imposes, may affect the corporation by reducing the companies’ profits (Aspin 2016).

References

Aspinwall, K. (2016). How Proposed Legislation Could Affect Corporate Taxes (Doctoral dissertation, The University of Mississippi).

Gaspar, J. F. C. M. M. (2020). Equity research-Lockheed Martin Corporation (Doctoral dissertation, Instituto Superior de Economia e Gestão).

Petrescu, R. V., Aversa, R., Akash, B., Bucinell, R., Corchado, J., Apicella, A., & Petrescu, F. I. (2017). Lockheed martin-a short review. Journal of Aircraft and Spacecraft Technology1(1).

Terris, D. (2005). Ethics at work: Creating virtue in an American corporation. UPNE.