Friday, 30 March 2012

The Chinese Defense Industry: Market Opportunities and Entry Strategies, Analyses and Forecasts to 2016

London, March 30th, 2012China’s defense budget is one of the largest in the world, second only to the US. In addition, China has a rapidly expanding presence in the international arms export market. The Chinese defense budget is expected to grow at a CAGR of 9.90% until 2016. While the Chinese defense budget will grow at a faster rate than the US defense budget growth during this time, the budget will still be considerably smaller than the US defense budget in 2016 (reference see figure 12 below).




China has the largest defense budget in Asia, and has the second-largest defense budget in the world. The country’s budget grew at a compound annual growth rate (CAGR) of 20.86% during the review period (2005–2010), which was fueled by the nation’s desire to become a global superpower, containing a strong economy and superior military force which can rival that of the United States. China’s defense industry has also benefited from the country’s strong economic growth, which has enabled large sums to be allocated for its defense industry.

Although the US currently dominates the world’s political, military and cultural outlook, China aims to emerge as one of the world’s largest economic powers and threaten the US’s military and economic supremacy. As such, the country has focused on modernizing its defense capabilities through the acquisition of advanced foreign weapons, significant investments in its domestic industrial technology, and upgrading its strategic nuclear force. As such, China’s defense expenditure grew at a CAGR of 20.86% during the review period, and is expected to grow at a CAGR of 9.90% during the forecast period.

China has instigated a military modernization program, which focuses on developing its navy, air defense systems, missile defense systems, C4I (Command, Control, Communications, Computers and Intelligence) capabilities and surveillance equipment. This program will continue throughout the forecast period with China raising its defense capital expenditure allocation from 34% of the total defense budget in 2010 to 39% in 2016.

Rising internal threats, alongside increased criminal activity, pose a security risk to Chinese homeland security. To address these risks, China is expected to spend a similar amount on homeland security as it does for external defense in 2011. The spending on homeland security aims to reduce criminal activity, riots, illegal immigration, illicit drug trading and human trafficking in the country. As Chinese homeland security is threatened by the protests and criminal activity of separatist groups from Tibet, Taiwan and Xinjiang, a substantial portion of the nation’s military budget is spent on policing these areas.

China does not have access to advanced military technology developed in Western countries due to the arms embargo placed on the country by the US and European countries following the 1989 Tiananmen Square massacre. Despite this several foreign companies have participated in the joint development, assembly and co-production of a variety of civilian products with Chinese companies, which have the potential to be used by the defense industry. As such, China has integrated its civil and military industries, which enables civilian technology to be utilized for defense products and vice versa.

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About Industry Review:
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.

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The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.

With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.

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Thursday, 29 March 2012

Duty Free Retailers in Australia: Market Snapshot to 2015

The duty free retailers’ category was the fastest-growing retail channel in the specialist retailers market between 2005 and 10 and achieved a CAGR of 18.34%. The weakest performer was music, video, book, stationery, and entertainment software specialists, which achieved only a CAGR of 14.26%.

London – 29 March 2012 – Following expansion at a compound annual growth rate (CAGR) of 18.34% between 2005 and 2010, the duty free retailers channel in Australia reached a value of US$0.9 billion in 2010, which represented an increase of 74.3% on 2009. The market achieved its strongest performance in 2010 when it grew by 74.3% over its previous year and its weakest performance in 2009, when it fell to -4.0% over 2008.

By 2010, the duty free retailers channel accounted for 0.7% of the specialist retailers market. In comparison, clothing, footwear, accessories and luxury goods specialists represented 24.1% share, while food and drinks specialists generated a further 20.4% of the market's 2010 share.
Looking ahead, the duty free retailers channel is expected to expand at a CAGR of 5.61% between 2010 and 2015, reaching a value of US$1.1 billion in 2015. This represents a total growth of 204.9% from 2005 and 31.4% from 2010.

The duty free retailer channel is expected to be the fastest-growing retail channel in the specialist retailers market between 2010 and 2015, which is expected to achieve a CAGR of 5.61%. The weakest performer is forecast to be electrical and electronics specialists, which is expected to achieve a CAGR of 3.68%. By 2015, the duty free retailer channel is forecast to account for 0.8% of the specialist retailers market. In comparison, clothing, footwear, accessories and luxury goods specialists is predicted to account for 24.9%, while food and drinks specialists is expected to generate a further 20.5% of the market's 2015 share.

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About Industry Review:
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.

We provide access to the latest data on global and local markets, key industries, top companies, M&A activity, new product launches and trends so you can make faster and better informed business decisions.

The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.

With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.

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Wednesday, 28 March 2012

Ireland Foodservice: The Future of Foodservice in Ireland to 2016

London, March 28th, 2012 – The Irish foodservice industry is expected to record positive CAGR from 2011 – 2016, primarily due to rising disposable income leading to increased consumer expenditure in the Ireland. The foodservice sector will have to deal with the emergence of a number of new trends, including restaurants offering mini meals and combos, discounts, and promotional offers in order to generate customer traffic.

Ireland’s foodservice sector has been driven recently by the changing demographics of the population and a shift in consumer preferences towards nutritional and healthy eating. Ireland’s foodservice sector is, however, majorly dependent on performance of the profit sector, which was severely affected by the economic downturn in Ireland. During the economic downturn period, consumers’ spending patterns have changed, which has affected the dining out behavior of consumers.

With a 94.8% share in 2011, the profit sector accounted for the majority of Ireland foodservice sales. Within the profit sector the pub, club and bar, and restaurant channels accounted for the majority of the share. The cost sector accounted for 5.2% of total foodservice sector sales with the healthcare channel being the largest contributor in this sector (reference see graph below).




From 2008 to 2010, Ireland’s annual disposable income declined by 17%, a fall that resulted in a marked slowdown in the number of consumers visiting foodservice outlets and had a damaging effect on the foodservice sector, which resulted in the reduction in average transaction cost, which in turn affected the sale of foodservice operators and even resulted in the shutdown of outlets.

The recession in 2008-2009 led to an increase in the turnover of the fast food sector. With a decline in disposable income during the recession, an increasing number of consumers opted for quick bites and cheaper dining. The number of older people continues to increase more than ever before. The foodservice industry will have to adjust to kind of food, quality and convenience demanded by various age groups and will have to consider where the food will be consumed. Furthermore Ireland is becoming a heterogeneous society due to increased immigration from other countries during the years of the economic boom. The increased ethnic diversity has influenced food consumption patterns and demand in recent years.

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About Industry Review:
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The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.
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With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.

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Friday, 23 March 2012

Global Transport Supplier Industry Outlook Survey 2011–2012: Industry Dynamics, Market Trends and Opportunities, Marketing Spend and Sales Strategies

London, March 23rd, 2012 - Respondents from the transport industry expect to see increased levels of consolidation, with 52% of respondents predicting at least some increase in M&A activity. Of respondents from the Asia-Pacific region, 56% expect an increase in M&A activity, followed by 52% in Europe and 49% in the Rest of the World.

It is expected that there will be increased levels of consolidation as expressed by executives from transport buyer companies. This could be a result of the need to manage new cost or demand pressures, increase market shares, develop new products, repay debt or adhere to new compliance procedures. Infrastructure activity and demand for services are expected to increase substantially as the global markets begin to recover. This is likely to lead to larger companies planning to acquire small, local companies with strong business models and growth opportunities to integrate their services – a senior executive from a technology service provider company in Asia-Pacific stated:

“With the development of global markets, we expect demand for services to increase which can best be met by acquiring local companies. The integration of local companies with larger, more experienced companies helps to provide world-class services.



Respondents have identified China, India Brazil and the Middle East as the most important emerging markets to offer growth. China in particular is expected to grow rapidly due to strong market potential, sufficient labor resources, expansion of its railroad infrastructure and sound corporate governance. Australia, Singapore, Taiwan, Hong Kong, and the US have been identified as developed regions with the most growth potential by rail and road buyer respondents, whilst ship buyer respondents prefer Singapore, Taiwan and Hong Kong, South Korea and Australia.

ICD Research’s industry survey revealed that, the average size of the global annual marketing budget for transport industry supplier respondents in 2010 was US$3 million. Although this had risen to US$4.6 million for 2011, 82% of supplier respondents plan to spend less than US$250,000 on marketing budgets with 8% of respondents planning to spend between US$1 million and US$10 million. Companies intend to keep budgets low.

‘Email and newsletters’, ‘conferences or events’ and ‘corporate or brand websites’ are expected to achieve the strongest investment gains. These new media channels have increased in importance among suppliers in the transport industry. With the rapid development of online social networking channels such as Twitter and Facebook, new opportunities are provided for respondents to effectively communicate messages between industry partners to build networks. However, ‘newspapers’, ‘radio’ and ‘telemarketing’ are expected to show the lowest investment gains, therefore less investment will be put into media channels such as these. The key areas of investment amongst marketing and sales solutions activities for the next year will be ‘Market intelligence research’, ‘business performance management solutions’ and ‘Customer Relationship Management (CRM) systems’.

To purchase the full version of the Global Transport Supplier Industry Outlook Survey 2011 - 2012, please click here.


About Industry Review:
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.

We provide access to the latest data on global and local markets, key industries, top companies, M&A activity, new product launches and trends so you can make faster and better informed business decisions.

The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.

With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.

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Thursday, 22 March 2012

The Argentine Packaging Industry - Market Opportunities and Entry Strategies, Analyses and Forecasts to 2016

The growth in domestic demand from the retail and food processing industries and demand for exports in global markets is expected to stimulate growth in the packaging industry in Argentina between 2012 and 2016. During the review period (2006 to 2010), the Argentinean packaging industry continued to record growth, despite the global economic recession.

The Argentine packaging industry has evolved in accordance with developments in the country’s agriculture, food processing and retail sectors. In addition, the above average growth rate in the Argentine retail industry and a growing export market have attracted foreign companies into the country’s packaging industry. In 2011, the Argentine packaging industry accounted for 1.1% of the country’s GDP. During the review period (2006- 2010), the key packaging end markets for the Argentine packaging industry such as retail and processed food and drinks industries, have recorded growth which can be attributed to domestic demand and exports to global markets.

Argentine packaging industry supported by domestic demand and proximity to Brazil and the US
Argentina is the second largest country in South America and is the eighth largest country in the world. Argentina is known for its availability of arable land and developed agro-industrial capacity, and is also one of the largest producers of vegetable oil, including soybean oil, sunflower oil and peanut oil, in the world. In addition, Argentina’s proximity to countries such as the US and Brazil provides export opportunities for Argentine products. Between 2007 and 2011, the Argentine packaging industry increased at a compound annual growth rate (CAGR) of around 6% and is expected to at a similar rate during the forecast period (2011–15).

Growth in organized retail such as supermarkets and hypermarkets expected to drive Argentine packaging industry growth
In 2009, organized retail stores such as hypermarkets, supermarkets and warehouse stores, accounted for 31% of the country’s food and drinks market. Many leading international retail companies such as Wal-Mart, Carrefour, Casino and Jumbo operate in Argentina, and Coto and La Anonima are the only large retailers which are domestically owned. Hypermarkets and supermarkets are expanding their presence in the country’s retail market through the purchase of smaller chains and the opening of new stores. Of total imported food and drink products, 70% are sold through large retail outlets, and the increased penetration of large retail outlets coupled with higher sales volumes is expected to support demand in the Argentine packaging industry during the forecast period (2011–15).

Growth in packaging machinery demand is largely driven by agriculture and food processing industry growth
The Argentine packaging industry has evolved in accordance with the development of the country’s agriculture, food processing and retail sectors and investment in technology. Moreover, the growth strategy adopted by the large retail companies is expected to further stimulate the Argentine packaging machinery market between 2012 and 2016.
The implementation of recycling law in Argentina remains unapproved by government
In Argentina, waste management and recycling law has not been approved or implemented by the country’s government. Although the National Packaging Law, a bill on the environment and recycling initiatives was drafted in 2005, it has not been debated in Congress. The bill was drafted with the participation of the Argentine government and industry representatives and focuses on the reduction of solid waste and toxins in the environment. Any further delay in the implementation of waste management and recycling law will have a detrimental impact on the growth of the Argentine packaging industry.

Growth in organized retail and food processing industries expected to enhance the penetration of packaging materials
In Argentina the growth in the retail and food processing industries will increase the market size and penetration of the Argentine packaging industry, as a result of the increased demand for packaging materials and products. With the rise of supermarkets and hypermarkets, the country’s retail sector has demonstrated growth. Moreover, the growth in the food processing sector in addition to the retail growth is forecast to increase the penetration of the packaging industry in Argentina to 2016.

To purchase the full version of The Argentine Packaging Industry - Market Opportunities and Entry Strategies, Analyses and Forecasts to 2016, please click here.

About Industry Review:
Industry Review is a collection of incisive, regularly updated market reports across 40+ industry sectors and 100+ countries.

We provide access to the latest data on global and local markets, key industries, top companies, M&A activity, new product launches and trends so you can make faster and better informed business decisions.

The reports in our store draw on robust primary and secondary research, proprietary databases, industry surveys and insightful analysis from our own expert teams and from carefully selected third-party publishers.
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With access to over 400 in-house analysts and journalists, and a global media presence in over 30 industries, Industry Review delivers in-depth knowledge of local markets worldwide.

For more information, please visit our website at www.industryreview.com

For more information on the article, please contact:Link
Press Contact
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shelly.wills@industryreview.com