Well, I think the first thing would be gears. The 4.6s Stangs make most of the power and torque up high, so the 3.27s are just too tall. The general consences seems to be 3.73s for GTs. As long as the cars in the shop for the gears, he might as well get some subframe connectors. That alone will make a big difference.
The next step is power. Nitrous is always the fairly cheap option. The GTs come with 19 lb injectors, which will need to be upgraded to something, depending on how big of a shot he wants to run. Without some work to the bottem end I would not go higher then a 100 to 150 dry shot. Hammer should be able to tell you a lot more about that. I think he'll need 30lb'ers, and a larger fuel pump.
As far as other mods, the basic principals are the same as for any car. The long tubes will work very well on a GT, but are hard to install and can have clearence problems depending on what he plans to do with his suspension.
Some other more common bolt ons are: throttle bodies, MAF, cold air kits, X and H pipes with higher flowing cats, an alum drive shaft, underdrive pullies. The next step up is ported heads, or the FRPP (Ford Racing Performance Parts) heads and intake.
The most common traction parts are: Upper and lower controls arms, bushings, shocks, struts, springs.
The most common superchargers are: Vortec S-Trim and the FRPP supercharger. There are also Paxton, Kenny Brown, and several others.
For handling, its too many to list. Tell your friend to look at Steeda (www.steeda.com), Saleen (www.saleen.com) and Shawn Hyland Motorsports (www.shm.com.) Each of these sites will provide more of an otherview of all this stuff, as well as prices and what not.
There's a whole heck of a lot you can do with these cars, more then I listed, you just got to know where to look.
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'97 Cobra, K&N, Flowmaster, subframes, 4.10 gears, Steeda Tri-Ax shifter, Steeda G-Trac 3, Cobra R wheels w/ Goodyear F1s
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