Industry Analysis & Industry Trends
Machine tool wholesalers generally purchase industry goods from manufacturers and onsell these to final customers. Most industry players are diverse wholesalers that specialise in a range of products, with machine tools comprising a single product segment. The industry is currently facing several challenges as it adapts to the shift in the economy from mining to more traditional manufacturing. In particular, there is a looming threat of wholesale bypass, where clients purchase their products directly from manufacturers. Some of the industry's more successful operators are expected to avoid price wars and instead focus on increasing their value proposition for clients.
Industry revenue is expected to decline at an annualised 0.5% over the five years through 2015-16 to reach $1.5... purchase to read more
Industry Report - Industry Key Buyers Chapter
The industry is highly fragmented and has a low level of market share concentration. In 2015-16, the four largest firms operating in the industry are estimated to account for less than 10% of industry revenue. An industry is considered to have a low concentration if the four largest firms have a market share of less than 40% of industry revenue. This low industry concentration is projected to continue over the five years through 2020-21.
Although several large companies are active in the industry, industry-related sales only account for a small proportion of industry revenue. Manufacturers of machine tools are also active in the industry to boost the reach of their distribution networks... purchase to read more