Industry Analysis & Industry Trends
During the past five years, revenue for the Barbecue and Grill Manufacturing industry declined due to the recession and the offshoring of production to low labor-cost countries. Over the next five years, IBISWorld estimates that industry revenue will increase. Although imports will continue to represent an increasing proportion of domestic demand, domestically produced high-end units are expected to contribute to industry growth. As consumer income rises, operators will benefit from an increase in private spending on home improvements.... purchase to read more
Industry Report - Industry Investment Chapter
The Barbecue and Grill Manufacturing industry has a medium level of capital intensity. IBISWorld estimates that for every dollar industry operators spend on labor, about $0.17 is spent on capital. A large proportion of industry costs is allocated towards the purchasing of machinery; however, once the equipment is paid for, running costs are relatively low. This reduces the capital intensity cost.
The need for labor in the production process is reflective of the manual tasks required for the assembly of grills. Industry operators also incur labor costs associated with sales, design and administrative employers. Generally, the smaller the establishment, the higher the labor intensity, as these firms cannot financially sustain large amounts of capital required for automation... purchase to read more