Industry Analysis & Industry Trends
Revenue of the Automotive Fuel Retailers industry in China is expected to total $173.4 billion by the end of 2011, up 13.5% from 2010 (constant 2011 dollars), with an annualized growth rate of 16.4% in the past five years. There are expected to be about 98,200 establishments operating within the industry in 2011, employing 860,000 people with an estimated payroll of $2.77 billion.
This industry is not highly profitable, particularly in years when international oil and petroleum prices increase, with domestic prices kept at a lower level. Firms in this industry are unable to pass on higher costs to consumers due to government price controls on fuel. Petroleum product prices are controlled by the government, specifically by the National Development and Reform Commission (NDRC).... purchase to read more
Industry Report - Industry Analysis Chapter
During these five years through 2011, the Automotive Fuel Retailers industry in China experienced significant growth, at an average annualized rate of 16.4% to $173.41 billion in 2011 (constant 2011 dollars).
Industry growth can be attributed to (1) substantial growth in domestic demand for automotive fuels, mainly stemming from the rising number of automobiles and the dynamically developing economy; (2) the government's control over petroleum product prices in the domestic market, compared with market prices in the global petroleum market; (3) China's accession to the WTO and the subsequent entry of foreign investment; (4) the introduction of new domestic competitors; and, (5) the introduction of new business models to improve industry productivity... purchase to read more