What I have noticed is that, let's say you kill a pirate (or any ship dies to anything in the game). Your ship hull + all loaded gear is worth 30000. At some point the game will spawn a new pirate to replace the one you killed, that pirate will have equipment worth, let's say 45000, like the game takes your gear + 50%. This is just an example, I don't know how the game actually works.
Now if you loot the equipment from the dominators, that's fine, you can get good stuff, but the game still looks at the cost of your ship when spawning new dominators, pirates, rangers, etc. I'm sure of it. So it's better to maintain superiority to use all the cheapest tech you can for the same effectiveness--like cheapest D-level laser is the maloq laser, if you get this for all slots, you will be stronger than all newly spawned ships. Of course you still need good stuff. I defeated all the galaxy by myself using Maloq equipment, but when I add a Gaalian scanner, suddenly I get trashed--this is no fun
