Industry Analysis & Industry Trends
Truck and bus manufacturers experienced high volatility over the past five years, with the recession and associated drop in trade activity pummeling revenue. However, as the global economy recovers, trade will increase and, in turn, boost demand for industry products. A growing number of operators will move their operations abroad to take advantage of high demand from emerging economies... purchase to read more
Industry Report - Starting a New Business Chapter
In general, this capital-intensive manufacturing industry presents a number of costs that can discourage some new entrants. For example, the high capital cost required for developing high-volume production facilities in order to benefit from economies of scale can act as barrier to entry. Manufacturing trucks and buses must be done on a large scale to be profitable. A small company or single proprietors may not be able to find the necessary funding to even start a business.
The need to comply with stringent environmental regulations in the future would require substantial research and development (R&D) investment for an entrant, and can act as a deterrent. Over the past five years, R&D costs have been on the rise, and they are expected to continue growing over the next five years... purchase to read more