Industry Analysis & Industry Trends
The past five years have been a smooth ride for all-terrain vehicle (ATV), golf cart and snowmobile manufacturers. Due to many of the industry's products being discretionary in nature, demand tends to rise and fall with fluctuations in disposable income. Although the industry is expected to grow, its high growth rate over the five-year period can be attributed to revenue starting at a low recessionary base. The industry's future is tied to the continued recovery of the US economy and its effect on disposable income and consumer sentiment. Overall, the industry's revenue growth will be aided by higher disposable income, renewed interest in recreational activity and greater investment in recreational equipment... purchase to read more
Industry Report - Starting a New Business Chapter
IBISWorld estimates that existing industry participants are generally low-cost producers that are able to market their products aggressively. These abilities can deter new businesses from entering the industry. Capital costs related to plants and equipment, as well as the technological expertise required to operate within this industry, are relatively low. These relatively low set-up costs encourage entry and exit from the industry.
Existing distribution and production capacities are barriers to entry in this industry. The larger businesses already operating within this industry, such as Honda Motor Company and Polaris Industries, have stronger abilities to produce and distribute goods and services at low costs compared with new entrants... purchase to read more