Industry Analysis & Industry Trends
The Lubricant Oil Manufacturing industry produces industrial and automotive lubricants for manufacturers and consumers, including motor oil, transmission fluid, rust inhibitors and machine oils. The industry experienced its share of wear and tear in recent years, as the persistent effects of the global economic downturn compelled consumers to drive less and hold off on car expenses, and manufacturers to leave factories idle or close down production altogether. Despite recent improvements, industry revenue is expected to continue to decline in the coming years. Increases in domestic demand will likely be largely satisfied by imports, which will continue to capture a greater share of the domestic market... purchase to read more
Industry Report - Starting a New Business Chapter
Operators in the Lubricant Oil Manufacturing industry face significant barriers to entry. A large volume of machinery and equipment is required for the refining and production of oil and other additives into lubricant products. In addition, substantial financial commitments are needed to meet changing environmental regulations, as well as to provide working capital and maintain brand names.
Pennzoil, Quaker-State and other well-known brand names and the customer loyalty attached to them also pose a significant barrier for entrants. Manufacturers seeking to enter the industry must have a product that meets technical specifications, while also creating a brand image that appeals to consumers... purchase to read more