Industry Analysis & Industry Trends
Key ingredients for growth
The Ethnic Supermarkets industry is comprised of retailers that sell culturally diverse food for consumption at home. Demand for the industry's products has been driven by the growing Hispanic and Asian populations in the United States, which together make up a significant share of industry sales. This growth has created an environment in which ethnocentric food retailers have thrived. Fortunately for ethnic supermarkets, conditions are only expected to get better for the industry over the next five years. As the Asian and Hispanic populations continue to grow domestically and disposable income improves in line with the economy, demand for cultural foods will increase further.... purchase to read more
Industry Report - Industry Investment Chapter
Capital intensity in the Ethnic Supermarkets industry is moderate. The typical operator spends $0.14 on capital investments for every dollar spent on labor. Labor is an important expense for supermarkets because employees help to create a smooth-running and enjoyable environment for patrons. Capital expenses represent investments in security systems, cash registers and inventory control systems. Over the five years to 2011, capital intensity for the industry has increased. A combination of decreasing labor costs (due to companies' cost-cutting measures during the recession) and increased use of self-checkout registers has contributed to this change. As automation increases in the retail sector, IBISWorld expects capital intensity for the Ethnic Supermarkets industry to increase as well... purchase to read more