Nowadays, the Israeli defence industry has developed comprehensive capabilities on ground, air and sea combat and has a major success beyond the initial expectations of the Israeli governments. Additionally, Israeli Aerospace and Defence companies play a major role in a rather competitive international scene and are standing at the forefront of technological advancement, sophistication and efficiency by creating products of proven quality record, reliability and service ability. Based on this unique development, Israeli A&D companies have recorded several successes on selling these products globally. Israel, produces a wide range of products from ammunition, small arms and artillery pieces to sophisticated Electronic Systems, such as Radar and Electronic Warfare Systems, UAVs, Search and Rescue Systems, Simulators and probably the world's most advanced Tank (MERKAVA). Major reason for the development of the Aerospace and Defence industry is the fact that the government, which owns three key defence firms, encourages the formation of private companies. This substantially leads to the creation of a rather competitive environment which helps the development of a sophisticated defence industry.

All the above inevitably led to exports, which today account for the majority of its revenues and allows the country's defence industry to compete against some of the largest companies in the world for foreign contracts, in addition to producing many of the arms needed for Israel's own defence.

Another reason for the development of the Israeli Aerospace and Defence companies is that they should not expect to sell the majority of the products that they manufacture domestically. So, selling in foreign countries is almost a necessity. Undoubtedly the initial steps of the development all military equipment produced were purchased by the Israeli Defence Forces. Nevertheless, the outstanding successes that the Israeli made weapons showed in the battlefield, drew the attention of customers on every continent. This tendency continues up to now as more than 70% of Israeli defence industry products are exported.

Another essential ingredient that Israel’s Defence Industry has is the high quality and professionalism of its workforce. It is a common belief that the country has a large pool of experienced former security, military and police personnel that are employed in Aerospace and Defence companies. The aforementioned personnel gained experience from serving in the Defence and Security Forces and some of them continue to serve in the reserves of the Army. This symbiotic relationship between the Army and the senior defence-industry employees is the reason why the Israeli engineers are successful and close to the operational user.

This fact is combined with Israel’s high-tech and Research & Development capabilities. The country is globally known as being an international center for R&D. Furthermore, its high-tech capabilities have enabled dozens of companies to develop expertise in the domain of Aerospace and Defence.

Finally, Israeli companies have been able to field test their systems and solutions in real-time situations as the Defence Forces are constantly operating.

The aforementioned technological environment enabled the creation of a robust Aerospace and Defence Industry. The battle-proven advantages, state-of-the-art technological superiority and excellent value of many Israeli-made products created an international reputation for the country. This is highlighted by the fact that several Israeli products fully comply with international standards and are globally deployed.