Industry Analysis & Industry Trends
Changing consumer trends, volatile commodity prices and a saturated market are characteristics of the Cake and Pastry Manufacturing industry. In addition, rising input prices and intensifying external competitive pressures have posed some serious challenges to the industry over the past five years. The entrenched position of the major players, coupled with enviable levels of brand and customer loyalty, has enabled them to pass on cost increases during times of unsustainably high input costs. Sweeping changes in consumption needs and preferences have led to innovation and new product introductions to stimulate demand in a mature and stagnant market.
In the five years through 2014-15, industry revenue is expected to contract at an annualised rate of 1.3% to total $1.5... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Cake and Pastry Manufacturing industry is in the decline stage of its life cycle, which is characterised by a saturated domestic market, a range of well-established products and a falling number of participants. Although barriers to entry remain relatively low, the industry is typified by a few large producers fiercely competing for market share, thereby restricting the number of new players entering the industry. Others are seeking to leave the industry entirely, as both internal and external competitive pressures intensify.
In the 10 years through 2019-20, industry value added is expected to fall by an annualised 0.8%, considerably below comparable GDP growth of 2.7% annualised. This indicates a stagnant industry whose contribution to the Australian economy is falling... purchase to read more