Riskiest Industries in the US in 2020

1. Apparel Knitting Mills in the US

2020 Overall Risk Score: 6.94

Revenue for the Apparel Knitting Mills industry has contracted for over a decade as more clothing manufacturing has been off-shored to low-cost countries abroad. This contraction has led demand for industry products to decline steadily over the five years to 2020. While consumers have benefited from an increase in disposable income levels over the past five years, it has not stimulated industry performance due to the continued outsourcing trend and import penetration. Although international consumers have become more conscious of buying products that are made in the United States with high quality or specialized functions, the marginal shift has not... Learn More

2. Communication Equipment Manufacturing in the US

2020 Overall Risk Score: 6.87

The Communication Equipment Manufacturing industry produces radio and TV broadcasting equipment, satellites, antennas, global positioning system (GPS) equipment, pagers, mobile communications equipment and cell phones. Since the industry is diverse, certain product segments may perform better than others. However, due to stiff internal and import competition, and volatility due to COVID-19 (coronavirus) industry revenue is anticipated to decline at an annualized rate of 3.0% to $24.6 billion over the five years to 2020, including estimated decline of 5.7% in 2020 alone.

While domestic companies are often at the forefront of progress in this industry, many have offshored less-profitable manufacturing activities to... Learn More

3. Audio & Video Equipment Manufacturing in the US

2020 Overall Risk Score: 6.67

The Audio and Video Equipment Manufacturing industry manufactures electronic audio and video equipment for home entertainment, motor vehicles and instrument amplification. Over the five years to 2020, technological changes and shifts in media and entertainment consumption have posed significant challenges to the industry. Revenue is expected to decline, decreasing at an annualized rate of 6.8% to $2.3 billion. In 2020 alone, revenue is expected to fall 27.2% due to the COVID-19 (coronavirus)-induced temporary closure of industry establishments and contraction in downstream demand.

The top industry operators are large multinational conglomerates. Companies such as Samsung Group (Samsung) have moved the majority of... Learn More

4. E-Book Publishing

2020 Overall Risk Score: 6.66

The E-Book Publishing industry has declined sharply over the five years to 2019. Prior to the current period, e-book sales surged with the introduction of new mobile devices. However, industry-relevant revenue has dropped over the past five years as e-book sales have matured as a product category. Additionally, there are signs that consumers may be tiring of digital media texts and they may continue to consume printed material either alone or in tandem with e-books when seeking longer-form book content. Over the five years to 2019, industry revenue is expected to fall at an annualized rate of 9.3% to $3.3... Learn More

5. Printing in the US

2020 Overall Risk Score: 6.62

The Printing industry is in the midst of a decline as digital products and services continue to displace printed materials. The industry's two largest markets, advertising and publishing, both accelerated their moves online over the five years to 2020, reducing demand for printing. Additionally, declining corporate profit amid widespread shutdowns, due to the COVID-19 (coronavirus) outbreak has decreased overall advertising expenditure. These two trends have reduced print advertising expenditure, declining at an annualized rate of 16.3% over the five years to 2020. Other industry products, such as retail catalogs and banking forms, have also experienced low demand due to the... Learn More

6. VoIP in the US

2020 Overall Risk Score: 6.62

The VoIP industry has struggled over the five years to 2020, despite growing demand for the service provided by industry operators. Voice over Internet Protocol (VoIP) technology converts voice communications into digital data transmitted using a high-speed connection. The industry declined during the period as competition from standard cell phone services and from free video chat services, such as FaceTime and Facebook Messenger, caused demand for industry services to decrease. IBISWorld expects industry revenue to decline at an annualized rate of 1.9% to $14.3 billion over the period. In 2020, however, the COVID-19 (coronavirus) pandemic and associated stay-at-home orders have... Learn More

7. Company Research Services

2020 Overall Risk Score: 6.59

The Company Research Services industry is composed of businesses that conduct research on management teams, strategic developments and the financial operations of companies in the private and public sector. Industry services are predominantly catered toward financial institutions, such as asset managers, bankers, equity traders and sales departments. As a result, demand for industry services is tied to corporate profit and research budget levels. Over the past five years, growth in corporate profit and the number of businesses in the United States have fueled industry growth. Uncertainty in financial markets has also driven new demand for industry services, as companies seek... Learn More

8. Coal Mining in the US

2020 Overall Risk Score: 6.59

The Coal Mining industry has been volatile over the five years to 2020 due to fluctuating coal prices, waning mine output and the viability of cleaner energy alternatives. Prior to the current period, global demand for coal grew strongly as the world economy expanded, giving rise to higher coal prices. However, over the past five years, several factors have contributed to the industry's swift decline. Resumed operations from some of the world's largest mines following severe weather disruptions, slowing economic growth in key export markets and mild United States winters have constrained demand and pressured prices. Finally, the recent COVID-19... Learn More

9. Women's & Children's Apparel Wholesaling in the US

2020 Overall Risk Score: 6.59

Shifting supply chain trends in the Women's and Children's Apparel Wholesaling industry have changed aspects of industry operations over the five years to 2020. Ultimately, the industry has declined at an annualized rate of 0.4% over the five years to 2020, to reach $75.0 billion. Amid these changes, improving economic conditions, including rising disposable income levels, have provided the industry with some stability, preventing steady declines in industry revenue. This stability was further aided by declining input prices, such as the world price of leather, for upstream manufacturers, in addition to rising import penetration into the manufacturing sector. These factors... Learn More

10. Employment & Recruiting Agencies in the US

2020 Overall Risk Score: 6.57

The Employment and Recruiting Agencies industry has not performed well over the five years to 2020 due to a collapse of the labor market in 2020, which has reduced demand for recruiting and job placement services. The COVID-19 (coronavirus) pandemic has severely hurt the economy and industry performance in 2020. The pandemic is expected to cause the national unemployment rate to increase 179.8% in 2020. Cost saving measures by companies in this time of economic uncertainty has resulted in almost 45.0 million people filing for unemployment benefits since March 2020. Overall, industry revenue is projected to decrease an annualized 2.2%... Learn More