Unai Emery will have a transfer budget of around £50million for this summer and wants to strengthen in midfield and defence primarily.
Head of recruitment Sven Mislintat and his scouting staff have watched a number of players but the budget dictates some Arsenal players will need to be sold.
Here Sportsmail identifies some of the players under discussion and examines which players could be heading out the Emirates exit door.
ARSENAL TARGETS
Sokratis Papastathopoulos
Borussia Dortmund £15million
Expected to be the first arrival for Emery, the Greek centre back adds experience. Arsenal have also asked about Freiburg's Caglar Soyuncu but his £30m price is an obstacle.
Nice £35million
Emery wanted Seri at PSG and is keen to bring him to Arsenal but will face competition from Premier League rivals Chelsea and Manchester United, who have greater budgets to play with. Dennis Praet at Sampdoria for £18m and Roma's Lorenzo Pellegrini for £26m would represent cheaper alternatives.
Jonny Evans
West Brom £3million
Evans has a bargain price but it's widely known that his agent wants a large commission of £4m, which has put off the likes of Manchester City and made Leicester re-think.
Bernd Leno
Bayer Leverkusen £22million
Arsenal need a goalkeeper and Leno is ready to leave Leverkusen after they brought in Lukas Hradecky from Eintracht Frankfurt. He has turned down Napoli and wants regular first-team football.
Ousmane Dembele
Barcelona (Loan)
The winger that Mislintat took to Dortmund from Rennes in 2016. He's not for sale but Barcelona may consider a season-long loan to help Dembele rediscover some form, especially if they bring in Antoine Griezmann from Atletico Madrid.
Kerem Demirbay
Hoffenheim - £20million
The 24-year-old attacking midfielder has been watched by Arsenal but arrival may be put on back burner until they sell. Benfica's Joao Felix and Andrij Zivkovic have also been studied.
Abdou Diallo
Mainz - £15million
The 22-year-old centre back arrived from Monaco at the start of the season and quickly established himself as one of the most highly-rated young defenders in the Bundesliga. Diallo is from the modern school of defending, technically gifted and intelligent in their reading of the game rather than brutal in the challenge.
WHO COULD GO?
David Ospina
The Colombian played second-fiddle to Petr Cech again this season but despite the first-choice goalkeeper's inconsistent form, failed to make the spot his own. Cech has since been given the No 1 shirt and Ospina's deal has just one more season left to run.
Shkodran Mustafi
The centre back has been a disappointment since arriving from Valencia for £35m and appeared to take a step backwards this campaign. His mistake against Manchester City's Sergio Aguero in the Carabao Cup final sticks in the memory.
Calum Chambers
The defender has failed to develop as Arsenal had hoped since his arrival from Southampton in 2014. Chambers spent the 2016-17 season on loan with Middlesbrough but failed to nail down a starting spot on his return this campaign.
Rob Holding
Another young English defender who has struggled to progress as quickly as expected at the Emirates. Only nine months younger than Chambers, Holding could find himself available for transfer if excess funds are needed for the summer.
Danny Welbeck
Might seem harsh after scoring some important goals for Arsenal this season, but Welbeck could find himself odd man out given the wealth of attacking options at the Emery's disposal. Has been linked with a move to Turkey and could change clubs this summer before or after the World Cup campaign with England.