Abstract:
In 1974, the US government approved the sale of the country's most advanced fighter airplane, the F-14, to the government of the Shah of Iran. This case traces the sale from its origins, setting out the interests of the plane's manufacturer, Grumman Corporation, the US Navy's search for buyers for an expensive plane, the Nixon administration's foreign policy objectives, and the Shah's strategies for the Iranian military and economy. The case presents experiences from two perspectives, that of Admiral John Alvis, the Navy's program manager for the F-14 in Washington, and that of Iranian administrators in Tehran and Isfahan, the base created for the new planes. The case ends with the departure of the US Navy's support team from Tehran during the Iranian revolution.
Learning Objective:
The case may be used to illustrate the formulation and implementation of a policy involving a major international arms sale. It provides a vehicle for the discussion of technology transfer issues from the point of view of the recipients.