Industry Analysis & Industry Trends
Australian footwear producers have faced a tough operating environment over the past decade as the dominance of low-cost foreign competitors, tariff reductions and import penetration have caused the industry's structure to change significantly. The industry also faces skilled-labour shortages, accelerated industry reforms and companies outsourcing production overseas. Finding a significant low-cost footwear producer based in Australia is now a difficult task. However, several larger footwear manufacturers produce industrial and safety boots, while sheepskin footwear such as ugg boots has retained stable domestic output levels over the past five years.
In 2013-14, industry revenue is estimated to decline by 2.7% to total $489.3... purchase to read more
Industry Report - Starting a New Business Chapter
New firms face strong competition from industry incumbents and competing imports. It can be especially difficult for potential participants to gain a foothold in the market because they compete against manufacturers with established brands and proven marketing capabilities. The high and increasing level of competing footwear in recent years has contributed to the barriers already in place for new entrants. Prospective firms face pricing and volume pressure from low-price footwear, particularly from China.
New industry players can also struggle to deliver the same degree of productivity and cost competitiveness of existing vertically integrated firms. Efficient and well-functioning distribution channels are critical for an industry participant to remain competitive... purchase to read more