Industry Analysis & Industry Trends
The Motorcycle Manufacturing industry was on the brink of collapse until the rejuvenation of Triumph in the 1980s, which sparked an industry revival. Triumph remains the only major manufacturer in the industry and the company contributes the majority of industry revenue. Triumph's success over the past five years has driven industry revenue through what would have been an otherwise difficult period. Although other companies are considerably smaller, they have managed to find their place in the global market by successfully targeting niche markets. As a result, industry revenue is forecast to expand at a compound annual rate of 5% over the five years through 2014-15 to reach £428.3 million... purchase to read more
Industry Report - Starting a New Business Chapter
The cost of setting up a factory to produce motorcycles is significant and acts as a deterrent to any new prospective entrant into the market. Motorcycles need to be produced on a large scale in order to recoup the fixed costs associated with factory outlays, which may be difficult for a new player. The domestic market has a very high level of penetration from foreign manufacturers, which are able to produce bike at a far lower cost per unit. Any new entrant also faces branding barriers as motorcycle riders are brand loyal. However, this would be significantly lower for any established global motorcycle brand, especially one that has a strong foothold in the retail market.
The barriers to entry for small companies wishing to produce on a smaller scale are lower... purchase to read more