Overview

Scientific breakthrough: Improving private investment from major industries will help long-term growth

IBISWorld’s Scientific Research & Development Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

REPORT SNAPSHOT

Market Share of Companies
There are no companies with a dominant market share in this industry
Industry Statistics & Market Size
Revenue
$136bn
Annual Growth
12-17
2.3%
Annual Growth
17-22
Profit
Employment
724,664
Business
54,149

Industry Threats & Opportunities

  • Despite managing a transition from federal to private funding sources, the industry has performed well over the past five years
  • Niche institutions are better positioned to attract private funding
  • The industry is expected to receive stronger R&D funding, accelerating revenue growth
  • Industry Analysis & Industry Trends

    Over the past five years, federal stimulus spending has been the primary source of funding for the Scientific Research and Development industry. Industry operators largely rely on government funding to provide research activities, but private investment has become increasingly crucial in recent years. Government consumption and investment rose to its highest point in 2010; however, more recently these levels have fallen away as austerity measures and budget sequestration shrink potential budget allocations. In the coming years, the industry is expected to maintain growth as industry revenue accelerates due to stronger private spending.

    Industry Report - Industry SWOT Analysis Chapter

    The Scientific Research and Development industry is in the mature stage of its economic life cycle. Industry maturity is characterized by growth roughly in line with the overall economy, consolidation from the industry's largest players and established market acceptance.

    Industry value added (IVA), used to measure an industry's contribution to the overall economy, is projected to grow at an annualized rate of 3.1% over the 10 years to 2022. This growth is greater than the projected growth of the overall economy, which is forecast to grow 2.0% over the period, as measured by Gross Domestic Product (GDP). In the five years to 2017, growth in IVA has been mitigated by wages falling as a proportion of revenue and contracting profit margins. Ove

    Additional Insights for the Scientific Research & Development Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Scientific Research & Development Industry are

  • Having a good reputation
  • Provision of appropriate facilities
  • Ability to effectively manage risk
  • IBISWorld analysts also discuss how external factors such as Research and development expenditure and Demand from healthcare and social assistance in the Scientific Research & Development industry impact industry performance..

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    Industry Products

    What is the Scientific Research & Development Industry?

    This industry includes companies and organizations that are involved in physical, engineering or life sciences research and development (R&D). The industry only includes operators whose primary purpose is R&D and excludes players such as pharmaceutical or manufacturing companies that may undertake R&D to support their primary operations. Government entities are also excluded from this industry, though these entities may contract and fund the research this industry undertakes.

    Industry Products
    Physical and engineering sciences R&D
    Biotechnology R&D
    Pharmaceutical R&D
    Other R&D
    Licensing of intellectual property rights
    Development services
    Industry Activities
    Agriculture research and development laboratories or services
    Biotechnology research and development laboratories or services
    Cancer research laboratories or services
    Computer and related hardware research and development laboratories or services
    Environmental research and development laboratories or services
    Genetics research and development laboratories or services
    Health research and development laboratories or services
    Mathematics research and development laboratories or services
    Medical research and development laboratories or services
    Physics research and development laboratories or services

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Research and development expenditure
  • Demand from healthcare and social assistance
  • Demand from biotechnology
  • Yield on 10-year Treasury note

  • Current Performance
  • Funding lapse slows development
  • Private funding leads to fragmentation
  • Going green
  • Chart: Revenue Growth

  • Industry Outlook
  • Federal funding steadies
  • Increasing private expenditure fuels long-term growth
  • Geopolitics and demographics boost demand
  • New technologies on the horizon
  • Table: Scientific Research & Development Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Scientific Research & Development Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Agriculture, Forestry, Fishing and Hunting
  • Baking Mix & Prepared Food Production
  • Generic Pharmaceutical Manufacturing
  • Semiconductor Machinery Manufacturing
  • Printing, Paper, Food, Textile & Other Machinery Manufacturing
  • Computer Manufacturing
  • Aircraft, Engine & Parts Manufacturing
  • Space Vehicle & Missile Manufacturing
  • Geophysical Services

  • Key Selling Industries
  • Chemical Wholesaling
  • Electrical Equipment Manufacturing
  • Glass Product Manufacturing
  • Glasses & Contact Lens Manufacturing
  • Inorganic Chemical Manufacturing
  • Medical Instrument & Supply Manufacturing
  • Organic Chemical Manufacturing
  • Plastic Pipe & Parts Manufacturing

  • Products & Services
  • Physical and engineering sciences R&D
  • Other
  • Other R&D
  • Pharmaceutical R&D
  • Licensing of intellectual property rights
  • Biotechnology R&D
  • Development services
  • Chart: Scientific Research & Development Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Federal government
  • Universities and colleges
  • Nonprofit organizations
  • Commercial corporations
  • Other government
  • Other
  • Chart: Major Market Segmentation for the Scientific Research & Development Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchases and depreciationRent and utilitiesOther
  • Chart: Cost Structure Benchmarking – Sector vs Scientific Research & Development

  • Basis of Competition
  • Internal competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Scientific Research & Development Industry

  • Industry Globalization
    Major Companies
    There are no major players in this industry
    Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Scientific Research & Development Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Scientific Research & Development Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Jargon & Glossary
    Life Sciences
  • A category in R&D that comprises biotechnology, biological sciences and medical sciences.
  • Materials Technology
  • A category that deals with the development of materials that can survive hostile environments, have greater strength-to-weight ratios or offer energy-saving applications.
  • Medical Diagnostic Imaging
  • A category in R&D related to the development of speedy, cost-effective and noninvasive medical equipment.
  • Nanotechnology
  • The study of controlling matter on an atomic and molecular scale.
  • Physical And Engineering Sector
  • An R&D category that comprises earth and environmental sciences and chemistry and chemical engineering.
  • Synchrotron
  • Also known as the atom-smasher. It is used in quantum-mechanics research by sending atoms along an underground circuit in order to break the atoms apart and study the results.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Scientific Research & Development:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Scientific Research & Development market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Scientific Research & Development, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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