Industry Analysis & Industry Trends
This industry has expanded on average during the past five years, but revenue exhibited high volatility. During the recession, global demand for crude oil and petroleum products plummeted, and prices quickly followed, causing industry revenue to contract. The industry has grown since then, albeit slowly because of pipeline shortages in North America. Growth during the next five years is contingent on the successful completion of export pipelines. As exports rise, domestic prices will converge to higher international prices. Rising prices and steady consumption growth are forecast to drive up both the industry's revenue and profit... purchase to read more
Industry Report - Starting a New Business Chapter
High barriers to entry protect incumbent players. Petroleum bulk stations require significant capital resources during the construction process, making it difficult for small firms to participate in this industry. Additionally, prospective entrants must navigate extensive government regulations, which increase start-up costs. Successful firms also require strong relationships with upstream petroleum product suppliers, further raising the barriers to entry.
Over the past five years, capital costs have increased, thereby raising barriers to entry. Terminals and bulk stations embraced facility automation, inventory management and other labour-saving technologies. As a result, newly constructed terminals and bulk stations require more costly technology infrastructure... purchase to read more