Industry Analysis & Industry Trends
The performance of the Hardware Manufacturing industry depends on activity in the downstream customer industries, such as the construction sector and automotive manufacturing. The recessionary effects that have pummeled these industries have flowed on as reduced demand for related hardware. The movement of the US dollar also influences the industry, with high imports pressuring prices and margins. As the economy recovers, demand will return from downstream customers, but import penetration will weigh heavily on revenue growth... purchase to read more
Industry Report - Industry Investment Chapter
The Hardware Manufacturing industry faces a moderate level of capital intensity, with expenditures focused largely on machinery and equipment rather than property, structures or vehicles. On average, IBISWorld estimates that for every $100 spent on labor, about $31.1 is allocated toward capital. Firms that produce on a large-scale are more capital intensive, while small-to-medium sized firms have lower capital expenditures and greater labor intensity. In addition, the purchase of computers, data and processing equipment has been on the rise over the past five years because large integrated producers are seeking to better manage large inventories and orders... purchase to read more