Industry Analysis & Industry Trends
Establishments in the Plastic and Rubber Machinery Manufacturing industry make machines that process plastic resin materials and shape them into finished plastic products. During the past five years, stagnating demand from downstream domestic markets, such as plastics and rubber products manufacturing, and intense competition from imported machinery has constrained industry performance. In addition, a sluggish global recovery from the recession, particularly in Europe, has hurt exports growth during most of the five-year period. After being hit hard by the recession, IBISWorld expects recovery of the downstream market to continue over the five years to 2020... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry in the Plastic and Rubber Machinery Manufacturing industry are moderate. The largest barrier relates to cost; for example, the price of a finished good can be in the five- to six-figure range, which is representative of the expense and skill required to manufacture extrusion and injection machines. Accordingly, potential entrants must have a substantial amount of capital to buy parts and acquire skilled labour. Further leading to high capital costs, large warehouses are needed to manufacture these machines, which incur high rent expenses.
Another significant barrier to entry relates to brand recognition. Due to the high prices of these products, potential buyers will look to buy a product that is well established... purchase to read more