Industry Analysis & Industry Trends
Industry participants have suffered in the past five years as imports as a share of domestic demand have risen. Canadian operators were forced to compete with these imports on price, which pressured industry profitability. Furthermore, the US housing crisis decimated export demand from commercial and residential building markets. Going forward, industry revenue is expected to expand slowly. Weak growth in the Canadian dollar will enable industry exports to perform slightly better compared with imports. However, the industry's trade gap will remain high, limiting revenue growth... purchase to read more
Industry Report - Industry Investment Chapter
The level of capital intensity is low for this industry. Using wages as a proxy for labour and depreciation as a proxy for capital, for every dollar spent on labour in 2015, an estimated $0.09 is spent on capital. Meanwhile, in 2015, wages are estimated to account for about 21.6% of total industry revenue.
Research and development in this industry is moderate, therefore capital expenditure is carried out mostly to improve manufacturing productivity, reduce costs and provide environmental enhancements to machinery. High initial capital costs are associated with the construction and development of specialized plants and machinery. Purchasing costs in this industry can also be quite considerable... purchase to read more