Industry Analysis & Industry Trends
When purchasing an appliance, consumers consider price, efficiency, durability, style and brand. Electrical appliance manufacturers in the United Kingdom are inhibited by relatively high costs compared with those in countries where labour is cheap. The total UK market for electrical appliances is estimated to be worth £4.1 billion in 2016-17, of which an estimated 69.1% is satisfied by imports. Exports are forecast to generate 30.5% of industry revenue in 2016-17.
Over the five years through 2016-17, revenue is estimated to increase at a compound annual rate of 0.4%. Industry revenue expanded as improving economic conditions allowed consumer confidence levels to rise and boosted demand for electrical appliances... purchase to read more
Industry Report - Industry Investment Chapter
The level of capital intensity is determined by comparing the human and capital equipment factors of production, using wages and depreciation costs as proxies. Comparatively high depreciation costs are indicative of a high level of investment in depreciable assets, such as buildings and equipment, indicating high capital intensity. Conversely, comparatively high wage costs are indicative of high labour intensity.
The industry displays a moderate level of capital intensity, with an estimated capital-to-labour ratio of 1:4.98 in 2016-17. This indicates that for every £1.00 spent on capital, an estimated £4.98 is spent on labour.
Industry operators require skilled labour, especially for production and research and development activities. The.. purchase to read more