Industry Analysis & Industry Trends
The performance of the Prepared Animal and Bird Feed Manufacturing industry is closely related to agricultural and social trends. Variations in weather patterns, herd stocks and outbreaks of disease often dictate the wellbeing of stockfeed operations in the industry, as do pet ownership levels for pet food manufacturers. These factors have contributed to subdued industry growth over the five years through 2013-14. The industry's performance has also been affected by highly volatile commodity prices and waning profit margins. Growth in global meat consumption and, consequently, herd stocks has primarily sustained modest revenue growth, as the industry has battled with dramatic fluctuations in demand and supply conditions... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry in the industry are relatively low. However, they are dependent on the scale of production the entrant wishes to pursue as it defines the level of capital, technology, labour and enterprise needed to commence operations. The majority of products manufactured by the industry have low per unit values, making economies of scale necessary to minimise average production costs. Firms wishing to enter the market will therefore need to establish production of a similar scale to effectively compete against incumbent players.
The level of capital investment needed to establish certain industry operations can act as another barrier for new participants... purchase to read more