Industry Analysis & Industry Trends
The industry has been enduring tough conditions, including rising import penetration and increasing input costs, which caused revenue and profitability to decline in the five years to 2013. Decreasing downstream demand also hurt revenue during the recession since fewer industry products were purchased for residential, nonresidential and infrastructure construction. While overall construction is expected to improve, the Lighting and Bulb manufacturing industry will not experience the same progress. A strong rebound in residential, nonresidential and infrastructure construction will help soften demand declines, but over the five years to 2018 revenue is expected to decline overall... purchase to read more
Industry Report - Industry Investment Chapter
The Lighting and Bulb Manufacturing industry requires a medium level of capital investments due to the combined need for automated machinery and human labor. For every dollar spent on wages, about $0.15 is spent on capital assets. Capital investment is largely in manufacturing machinery, which most large operators use to streamline the production process. New manufacturing machinery, equipment and facilities improve the quality of final products while increasing manufacturing efficiency and lowering production costs.
Despite being highly automated, the industry still requires a significant amount of labor for the operation of industry machinery. The necessity for human labor drives up wage costs in the industry, lowering the industry's level of capital intensity... purchase to read more