Industry Analysis & Industry Trends
The Industrial Machinery Manufacturing industry makes a range of products including water treatment plants, ball bearings and furnaces. Industry performance is strongly influenced by downstream markets such as mining and manufacturing. The industry is highly fragmented due to the differentiated nature of the products produced, with a large number of firms producing low-quantity, specialised products. Industry revenue is expected to decline at an annualised 1.5% over the five years through 2016-17. This decline includes an expected fall of 2.5% in the current year, to $1.9 billion... purchase to read more
Industry Report - Starting a New Business Chapter
The industry is characterised by moderate barriers to entry, and this trend has remained steady over the past five years. However, there are slight variations between different product segments. The major barrier for new entrants is the significant level of competition from imports. A new entrant would be unlikely to achieve the level of production required in a market where economies of scale are needed to make a profit. However, most Australian manufacturers do not compete at this level: instead they opt for entering a niche market for specialised products.
Existing local manufacturers with established networks also form a barrier to entry for new players... purchase to read more