Industry Analysis & Industry Trends
The Tax Preparation Software Developers industry experienced growth over the past five years. When consumer incomes fell during the recession, they became less willing to pay for tax preparation software, and industry revenue fell in 2008 and 2009. But then revenue returned to growth as the economy stabilized thereafter. Growth in the next five years will come from an expanding consumer base and greater trust consumers will place in the security of tax preparation software.... purchase to read more
Industry Report - Starting a New Business Chapter
The industry has moderate barriers to entry. The relative ease of distributing software through the internet or offering services online has eroded many of the traditional barriers to entry throughout the entire software sector. New entrants to the industry that establish a website can sell their product throughout the country without the burden of distribution costs or the need to set up establishments in multiple geographic locations. However, whether these firms can generate significant revenue is highly dependent on establishing a large customer base.
The high level of market share concentration poses a significant barrier to new entrants. Customers that already are familiar with a certain product may be reluctant to switch to another... purchase to read more