I’ve seen one aerospace EMS take an interesting approach to the defense spending cuts. Knowing that the military will be looking for new ways to save money, they have shifted their efforts from airframe products to flight simulators. Simulator training hours are less costly than actual flight time so it makes sense that a higher % of available funding will go this way. For the EMS, it’s the same basic product mix with a new customer focus.
Assuming that the cuts won’t just drive less of the same, there are still be new opportunities to be found if you can anticipate the savings opportunities.