Industry Analysis & Industry Trends
The past five years have been a smooth ride for all-terrain vehicle (ATV), golf cart and snowmobile manufacturers. Because many of the industry's products are discretionary in nature, demand tends to rise and fall with fluctuations in disposable income. The industry's future is thus 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. Additionally, as the US economy improves, demand for big-ticket items is expected to rise as consumers resume purchases they had deferred during the recession... 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