Industry Analysis & Industry Trends
The recovery in the housing market will bode well for appliance manufacturers. Because new homeowners comprise a significant portion of appliance sales, the anticipated rise in housing starts will bring increased demand to the industry. Appliance manufacturers will continue to face rising input costs, however, particularly plastic. With financial assistance from federal tax credits expiring, many operators will cope by moving their production to lower labor-cost countries, such as China or Mexico... purchase to read more
Industry Report - Starting a New Business Chapter
The four largest operators in the Major Household Appliance Manufacturing industry control more than 80.0% of the market, reflecting a high level of concentration. Consequently, the dominance of existing players inhibits new entrants from establishing links with key suppliers and customers. Heavy investment must also be made in marketing and promotional activity in order to build brand recognition.
New entrants face large startup costs because establishing manufacturing facilities requires the purchase of land, raw materials and expensive machinery. For operators that produce premium products, initial costs may be even greater because of the need for high investment in design and engineering services... purchase to read more