Industry Analysis & Industry Trends
Head above water
The number of new players entering this mature industry is declining due to increases in concentration and the strong market position of overseas shipbuilders. Revenue growth will slow as orders made prior to the recession are completed; however, the ongoing availability of defense budgets will ensure the continuation of Navy shipbuilding and conversion. New cruise ships will help push future sales as older US passengers increasingly take to the seas... purchase to read more
Industry Report - Industry Investment Chapter
The Ship Building industry is moderately labor intensive because a considerable amount of skilled staff is required to operate a shipbuilding yard. Operators pay for the wages, salaries and benefits paid to researchers, builders, repairers and administrative staff. In 2012, IBISWorld estimates that wages will account for 26.0% of revenue while 4.1% of revenue will go toward depreciation expense. Consequently, industry operators typically invest 16 cents of capital for every dollar of labor in 2012.
In 2012, the average industry wage is relatively high at about $58,778 per person, which reflects the skilled nature of maritime work. The number of employees an operator needs is largely determined by a company's output and use technology... purchase to read more