Industry Analysis & Industry Trends
The sweet tooth of US consumers kept candy producers resilient during the recession, and the next five years will be marked by further growth. An increasingly health-conscious marketplace will encourage producers to adapt product lines to include sugar-free and low-sugar products. Furthermore, as the number of children aged 14 and under continues to shrink, candy producers will increasingly market their goods to adults. The industry will also look to foreign markets for growth as the domestic market becomes more saturated... purchase to read more
Industry Report - Starting a New Business Chapter
It is moderately difficult to enter the candy production industry. A sufficient amount of capital is needed to operate. More importantly, the industry is heavily regulated by the Food and Drug Administration with respect to content, safety, packaging and labeling standards. Compliance is costly and requires the employment of high-skill chemists, technicians and legal experts. In addition, entry requires guaranteed access to raw materials. This may be difficult in the absence of established relationships with upstream markets.
A more important issue for potential entrants is the ability to succeed after entry. High competition and concentration in the industry may be discouraging, especially given the brand-loyalty and large production scale enjoyed by large incumbents... purchase to read more