Ball Screw Market Insights 2025, Analysis and Forecast to 2030, by Manufacturers, Regions, Technology, Application
- Single User License (1 Users) $ 3,600
- Team License (2~5 Users) $ 4,600
- Corporate License (>5 Users) $ 5,600
Introduction to the Ball Screw Industry
Ball screws are precision mechanical components that convert rotational motion into linear motion, widely used in machine tools, semiconductors, medical devices, robotics, and special machinery. The industry is characterized by high precision and durability, with Taiwan’s HIWIN Technologies, Japan’s NSK and THK, and Germany’s Bosch Rexroth dominating mid-to-high-end markets. China’s Hanjiang Machine Tool produces 200,000 units annually, and Nanjing Technical Equipment adds 100,000 units. The market benefits from automation trends but faces challenges from high production costs and competition from linear motors, requiring continuous innovation to maintain competitiveness.
Market Size and Growth Forecast
The global ball screw market is projected to reach USD 1.6 billion to USD 1.8 billion by 2025, with an estimated CAGR of 1.5% to 2.5% through 2030, driven by industrial automation.
Regional Analysis
Asia Pacific expects a growth rate of 2% to 3%. China and Japan lead with heavy machinery and electronics production, focusing on precision applications.
North America anticipates a growth rate of 1% to 2%. The U.S. drives demand in aerospace and robotics, with steady growth.
Europe projects a growth rate of 1% to 2%. Germany’s manufacturing sector supports high-end screws, though maturity limits expansion.
Middle East and Africa expect a growth rate of 0.5% to 1.5%. The UAE’s industrial growth sustains niche demand.
South America anticipates a growth rate of 0.5% to 1%. Brazil’s machinery sector supports limited growth.
Application Analysis
Machine Tool: Projected at 1.5% to 2.5%, dominates with CNC machine demand, focusing on high precision.
Semiconductor: Expected at 2% to 3%, grows with chip production, requiring ultra-precise screws.
Medical: Anticipated at 1% to 2%, used in imaging devices, with trends toward compact designs.
Robot: Projected at 2% to 3%, expands with automation, emphasizing durability.
Special Machinery: Expected at 1% to 2%, includes niche uses, with steady demand.
Key Market Players
NSK: A Japanese firm, NSK leads in precision screws.
HIWIN Technologies: A Taiwanese company, HIWIN serves global automation.
THK: A Japanese player, THK focuses on linear motion.
NTN: A Japanese firm, NTN produces industrial components.
Schaeffler: A German company, Schaeffler excels in precision.
Bosch Rexroth: A German player, Bosch Rexroth supports automation.
PMI: A Taiwanese firm, PMI caters to machinery.
Tsubaki Nakashima: A Japanese company, Tsubaki specializes in screws.
SKF: A Swedish player, SKF focuses on bearings and screws.
Eichenberger Gewinde: A Swiss firm, Eichenberger produces high-end screws.
Steinmeyer: A German company, Steinmeyer serves precision markets.
Thomson: A U.S. player under Regal Rexnord, Thomson supports motion control.
Neff Gewindetriebe: A German firm, Neff focuses on screws.
Schneeberger: A Swiss company, Schneeberger serves industrial needs.
Deans Manufacturing: A Taiwanese player, Deans caters to automation.
OME Technology: A Taiwanese firm, OME supports machinery.
TBI MOTION: A Taiwanese company, TBI focuses on linear motion.
Hanjiang Machine Tool: A Chinese player, Hanjiang produces screws.
Nanjing Technical Equipment: A Chinese firm, Nanjing serves domestic markets.
Shandong Best Precision: A Chinese company, Shandong supports industry.
Jiangsu Qijian: A Chinese player, Qijian focuses on precision.
Shandong Huazhu: A Chinese firm, Huazhu caters to machinery.
Porter’s Five Forces Analysis
●Threat of New Entrants: Low. High technical and capital barriers deter entry.
●Threat of Substitutes: Moderate. Linear motors compete in high-speed applications.
●Bargaining Power of Buyers: Moderate. Manufacturers negotiate, but precision limits options.
●Bargaining Power of Suppliers: Moderate. Steel and component suppliers influence costs.
●Competitive Rivalry: High. Firms like NSK and HIWIN compete on precision and scale.
Market Opportunities and Challenges
Opportunities
●Automation Growth: Asia’s robotics boom, led by China, drives screw demand, benefiting HIWIN.
●Semiconductor Expansion: Global chip shortages boost production, supporting THK.
●Medical Devices: Europe’s aging population increases imaging needs, aiding Steinmeyer.
●Emerging Markets: India’s machinery sector creates niches for PMI.
●Precision Trends: High-end screws for aerospace gain traction, favoring Bosch Rexroth.
●Export Potential: Taiwan’s cost-effective screws, led by TBI MOTION, tap global markets.
●Smart Manufacturing: IoT-integrated screws enhance efficiency, benefiting NSK.
Challenges
●High Costs: Precision manufacturing raises prices, challenging Nanjing Technical Equipment.
●Substitute Threat: Linear motors gain ground in robotics, impacting SKF.
●Market Maturity: Europe’s stable demand limits growth for Schaeffler.
●Raw Material Volatility: Steel price fluctuations affect margins for Hanjiang Machine Tool.
●Economic Slowdowns: South America’s volatility slows machinery sales, impacting Jiangsu Qijian.
●R&D Costs: Innovation demands strain smaller firms like Shandong Huazhu.
●Supply Chain Risks: Global disruptions hinder component delivery for Thomson.
Chapter 1 Executive Summary
Chapter 2 Abbreviation and Acronyms
Chapter 3 Preface
3.1 Research Scope
3.2 Research Sources
3.2.1 Data Sources
3.2.2 Assumptions
3.3 Research Method
Chapter 4 Market Landscape
4.1 Market Overview
4.2 Classification/Types
4.3 Application/End Users
Chapter 5 Market Trend Analysis
5.1 Introduction
5.2 Drivers
5.3 Restraints
5.4 Opportunities
5.5 Threats
Chapter 6 Industry Chain Analysis
6.1 Upstream/Suppliers Analysis
6.2 Ball Screw Analysis
6.2.1 Technology Analysis
6.2.2 Cost Analysis
6.2.3 Market Channel Analysis
6.3 Downstream Buyers/End Users
Chapter 7 Latest Market Dynamics
7.1 Latest News
7.2 Merger and Acquisition
7.3 Planned/Future Project
7.4 Policy Dynamics
Chapter 8 Trading Analysis
8.1 Export of Ball Screw by Region
8.2 Import of Ball Screw by Region
8.3 Balance of Trade
Chapter 9 Historical and Forecast Ball Screw Market in North America (2020-2030)
9.1 Ball Screw Market Size
9.2 Ball Screw Demand by End Use
9.3 Competition by Players/Suppliers
9.4 Type Segmentation and Price
9.5 Key Countries Analysis
9.5.1 United States
9.5.2 Canada
9.5.3 Mexico
Chapter 10 Historical and Forecast Ball Screw Market in South America (2020-2030)
10.1 Ball Screw Market Size
10.2 Ball Screw Demand by End Use
10.3 Competition by Players/Suppliers
10.4 Type Segmentation and Price
10.5 Key Countries Analysis
10.5.1 Brazil
10.5.2 Argentina
10.5.3 Chile
10.5.4 Peru
Chapter 11 Historical and Forecast Ball Screw Market in Asia & Pacific (2020-2030)
11.1 Ball Screw Market Size
11.2 Ball Screw Demand by End Use
11.3 Competition by Players/Suppliers
11.4 Type Segmentation and Price
11.5 Key Countries Analysis
11.5.1 China
11.5.2 India
11.5.3 Japan
11.5.4 South Korea
11.5.5 Southest Asia
11.5.6 Australia
Chapter 12 Historical and Forecast Ball Screw Market in Europe (2020-2030)
12.1 Ball Screw Market Size
12.2 Ball Screw Demand by End Use
12.3 Competition by Players/Suppliers
12.4 Type Segmentation and Price
12.5 Key Countries Analysis
12.5.1 Germany
12.5.2 France
12.5.3 United Kingdom
12.5.4 Italy
12.5.5 Spain
12.5.6 Belgium
12.5.7 Netherlands
12.5.8 Austria
12.5.9 Poland
12.5.10 Russia
Chapter 13 Historical and Forecast Ball Screw Market in MEA (2020-2030)
13.1 Ball Screw Market Size
13.2 Ball Screw Demand by End Use
13.3 Competition by Players/Suppliers
13.4 Type Segmentation and Price
13.5 Key Countries Analysis
13.5.1 Egypt
13.5.2 Israel
13.5.3 South Africa
13.5.4 Gulf Cooperation Council Countries
13.5.5 Turkey
Chapter 14 Summary For Global Ball Screw Market (2020-2025)
14.1 Ball Screw Market Size
14.2 Ball Screw Demand by End Use
14.3 Competition by Players/Suppliers
14.4 Type Segmentation and Price
Chapter 15 Global Ball Screw Market Forecast (2025-2030)
15.1 Ball Screw Market Size Forecast
15.2 Ball Screw Demand Forecast
15.3 Competition by Players/Suppliers
15.4 Type Segmentation and Price Forecast
Chapter 16 Analysis of Global Key Vendors
15.1 NSK
15.1.1 Company Profile
15.1.2 Main Business and Ball Screw Information
15.1.3 SWOT Analysis of NSK
15.1.4 NSK Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.2 HIWIN Technologies
15.2.1 Company Profile
15.2.2 Main Business and Ball Screw Information
15.2.3 SWOT Analysis of HIWIN Technologies
15.2.4 HIWIN Technologies Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.3 THK
15.3.1 Company Profile
15.3.2 Main Business and Ball Screw Information
15.3.3 SWOT Analysis of THK
15.3.4 THK Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.4 NTN
15.4.1 Company Profile
15.4.2 Main Business and Ball Screw Information
15.4.3 SWOT Analysis of NTN
15.4.4 NTN Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.5 Schaeffler
15.5.1 Company Profile
15.5.2 Main Business and Ball Screw Information
15.5.3 SWOT Analysis of Schaeffler
15.5.4 Schaeffler Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.6 Bosch Rexroth
15.6.1 Company Profile
15.6.2 Main Business and Ball Screw Information
15.6.3 SWOT Analysis of Bosch Rexroth
15.6.4 Bosch Rexroth Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.7 PMI
15.7.1 Company Profile
15.7.2 Main Business and Ball Screw Information
15.7.3 SWOT Analysis of PMI
15.7.4 PMI Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.8 Tsubaki Nakashima
15.8.1 Company Profile
15.8.2 Main Business and Ball Screw Information
15.8.3 SWOT Analysis of Tsubaki Nakashima
15.8.4 Tsubaki Nakashima Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.9 SKF
15.9.1 Company Profile
15.9.2 Main Business and Ball Screw Information
15.9.3 SWOT Analysis of SKF
15.9.4 SKF Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.10 Eichenberger Gewinde AG
15.10.1 Company Profile
15.10.2 Main Business and Ball Screw Information
15.10.3 SWOT Analysis of Eichenberger Gewinde AG
15.10.4 Eichenberger Gewinde AG Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.11 Steinmeyer
15.11.1 Company Profile
15.11.2 Main Business and Ball Screw Information
15.11.3 SWOT Analysis of Steinmeyer
15.11.4 Steinmeyer Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.12 Thomson
15.12.1 Company Profile
15.12.2 Main Business and Ball Screw Information
15.12.3 SWOT Analysis of Thomson
15.12.4 Thomson Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.13 Neff Gewindetriebe GmbH
15.13.1 Company Profile
15.13.2 Main Business and Ball Screw Information
15.13.3 SWOT Analysis of Neff Gewindetriebe GmbH
15.13.4 Neff Gewindetriebe GmbH Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.14 Schneeberger
15.14.1 Company Profile
15.14.2 Main Business and Ball Screw Information
15.14.3 SWOT Analysis of Schneeberger
15.14.4 Schneeberger Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.15 HIWIN Technologies Corp.
15.15.1 Company Profile
15.15.2 Main Business and Ball Screw Information
15.15.3 SWOT Analysis of HIWIN Technologies Corp.
15.15.4 HIWIN Technologies Corp. Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
15.16 Deans Manufacturing Group
15.16.1 Company Profile
15.16.2 Main Business and Ball Screw Information
15.16.3 SWOT Analysis of Deans Manufacturing Group
15.16.4 Deans Manufacturing Group Ball Screw Sales, Revenue, Price and Gross Margin (2020-2025)
Please ask for sample pages for full companies list
Table Research Scope Of Ball Screw Report
Table Data Sources Of Ball Screw Report
Table Major Assumptions Of Ball Screw Report
Table Ball Screw Classification
Table Ball Screw Applications List
Table Drivers Of Ball Screw Market
Table Restraints Of Ball Screw Market
Table Opportunities Of Ball Screw Market
Table Threats Of Ball Screw Market
Table Raw Materials Suppliers List
Table Different Production Methods Of Ball Screw
Table Cost Structure Analysis Of Ball Screw
Table Key End Users List
Table Latest News Of Ball Screw Market
Table Merger And Acquisition List
Table Planned/Future Project Of Ball Screw Market
Table Policy Of Ball Screw Market
Table 2020-2030 Regional Export Of Ball Screw
Table 2020-2030 Regional Import Of Ball Screw
Table 2020-2030 Regional Trade Balance
Table 2020-2030 North America Ball Screw Market Size And Market Volume List
Table 2020-2030 North America Ball Screw Demand List By Application
Table 2020-2025 North America Ball Screw Key Players Sales List
Table 2020-2025 North America Ball Screw Key Players Market Share List
Table 2020-2030 North America Ball Screw Demand List By Type
Table 2020-2025 North America Ball Screw Price List By Type
Table 2020-2030 United States Ball Screw Market Size And Market Volume List
Table 2020-2030 United States Ball Screw Import & Export List
Table 2020-2030 Canada Ball Screw Market Size And Market Volume List
Table 2020-2030 Canada Ball Screw Import & Export List
Table 2020-2030 Mexico Ball Screw Market Size And Market Volume List
Table 2020-2030 Mexico Ball Screw Import & Export List
Table 2020-2030 South America Ball Screw Market Size And Market Volume List
Table 2020-2030 South America Ball Screw Demand List By Application
Table 2020-2025 South America Ball Screw Key Players Sales List
Table 2020-2025 South America Ball Screw Key Players Market Share List
Table 2020-2030 South America Ball Screw Demand List By Type
Table 2020-2025 South America Ball Screw Price List By Type
Table 2020-2030 Brazil Ball Screw Market Size And Market Volume List
Table 2020-2030 Brazil Ball Screw Import & Export List
Table 2020-2030 Argentina Ball Screw Market Size And Market Volume List
Table 2020-2030 Argentina Ball Screw Import & Export List
Table 2020-2030 Chile Ball Screw Market Size And Market Volume List
Table 2020-2030 Chile Ball Screw Import & Export List
Table 2020-2030 Peru Ball Screw Market Size And Market Volume List
Table 2020-2030 Peru Ball Screw Import & Export List
Table 2020-2030 Asia & Pacific Ball Screw Market Size And Market Volume List
Table 2020-2030 Asia & Pacific Ball Screw Demand List By Application
Table 2020-2025 Asia & Pacific Ball Screw Key Players Sales List
Table 2020-2025 Asia & Pacific Ball Screw Key Players Market Share List
Table 2020-2030 Asia & Pacific Ball Screw Demand List By Type
Table 2020-2025 Asia & Pacific Ball Screw Price List By Type
Table 2020-2030 China Ball Screw Market Size And Market Volume List
Table 2020-2030 China Ball Screw Import & Export List
Table 2020-2030 India Ball Screw Market Size And Market Volume List
Table 2020-2030 India Ball Screw Import & Export List
Table 2020-2030 Japan Ball Screw Market Size And Market Volume List
Table 2020-2030 Japan Ball Screw Import & Export List
Table 2020-2030 South Korea Ball Screw Market Size And Market Volume List
Table 2020-2030 South Korea Ball Screw Import & Export List
Table 2020-2030 Southeast Asia Ball Screw Market Size List
Table 2020-2030 Southeast Asia Ball Screw Market Volume List
Table 2020-2030 Southeast Asia Ball Screw Import List
Table 2020-2030 Southeast Asia Ball Screw Export List
Table 2020-2030 Australia Ball Screw Market Size And Market Volume List
Table 2020-2030 Australia Ball Screw Import & Export List
Table 2020-2030 Europe Ball Screw Market Size And Market Volume List
Table 2020-2030 Europe Ball Screw Demand List By Application
Table 2020-2025 Europe Ball Screw Key Players Sales List
Table 2020-2025 Europe Ball Screw Key Players Market Share List
Table 2020-2030 Europe Ball Screw Demand List By Type
Table 2020-2025 Europe Ball Screw Price List By Type
Table 2020-2030 Germany Ball Screw Market Size And Market Volume List
Table 2020-2030 Germany Ball Screw Import & Export List
Table 2020-2030 France Ball Screw Market Size And Market Volume List
Table 2020-2030 France Ball Screw Import & Export List
Table 2020-2030 United Kingdom Ball Screw Market Size And Market Volume List
Table 2020-2030 United Kingdom Ball Screw Import & Export List
Table 2020-2030 Italy Ball Screw Market Size And Market Volume List
Table 2020-2030 Italy Ball Screw Import & Export List
Table 2020-2030 Spain Ball Screw Market Size And Market Volume List
Table 2020-2030 Spain Ball Screw Import & Export List
Table 2020-2030 Belgium Ball Screw Market Size And Market Volume List
Table 2020-2030 Belgium Ball Screw Import & Export List
Table 2020-2030 Netherlands Ball Screw Market Size And Market Volume List
Table 2020-2030 Netherlands Ball Screw Import & Export List
Table 2020-2030 Austria Ball Screw Market Size And Market Volume List
Table 2020-2030 Austria Ball Screw Import & Export List
Table 2020-2030 Poland Ball Screw Market Size And Market Volume List
Table 2020-2030 Poland Ball Screw Import & Export List
Table 2020-2030 Russia Ball Screw Market Size And Market Volume List
Table 2020-2030 Russia Ball Screw Import & Export List
Table 2020-2030 Mea Ball Screw Market Size And Market Volume List
Table 2020-2030 Mea Ball Screw Demand List By Application
Table 2020-2025 Mea Ball Screw Key Players Sales List
Table 2020-2025 Mea Ball Screw Key Players Market Share List
Table 2020-2030 Mea Ball Screw Demand List By Type
Table 2020-2025 Mea Ball Screw Price List By Type
Table 2020-2030 Egypt Ball Screw Market Size And Market Volume List
Table 2020-2030 Egypt Ball Screw Import & Export List
Table 2020-2030 Israel Ball Screw Market Size And Market Volume List
Table 2020-2030 Israel Ball Screw Import & Export List
Table 2020-2030 South Africa Ball Screw Market Size And Market Volume List
Table 2020-2030 South Africa Ball Screw Import & Export List
Table 2020-2030 Gulf Cooperation Council Countries Ball Screw Market Size And Market Volume List
Table 2020-2030 Gulf Cooperation Council Countries Ball Screw Import & Export List
Table 2020-2030 Turkey Ball Screw Market Size And Market Volume List
Table 2020-2030 Turkey Ball Screw Import & Export List
Table 2020-2025 Global Ball Screw Market Size List By Region
Table 2020-2025 Global Ball Screw Market Size Share List By Region
Table 2020-2025 Global Ball Screw Market Volume List By Region
Table 2020-2025 Global Ball Screw Market Volume Share List By Region
Table 2020-2025 Global Ball Screw Demand List By Application
Table 2020-2025 Global Ball Screw Demand Market Share List By Application
Table 2020-2025 Global Ball Screw Key Vendors Sales List
Table 2020-2025 Global Ball Screw Key Vendors Sales Share List
Table 2020-2025 Global Ball Screw Key Vendors Revenue List
Table 2020-2025 Global Ball Screw Key Vendors Revenue Share List
Table 2020-2025 Global Ball Screw Demand List By Type
Table 2020-2025 Global Ball Screw Demand Market Share List By Type
Table 2020-2025 Regional Ball Screw Price List
Table 2025-2030 Global Ball Screw Market Size List By Region
Table 2025-2030 Global Ball Screw Market Size Share List By Region
Table 2025-2030 Global Ball Screw Market Volume List By Region
Table 2025-2030 Global Ball Screw Market Volume Share List By Region
Table 2025-2030 Global Ball Screw Demand List By Application
Table 2025-2030 Global Ball Screw Demand Market Share List By Application
Table 2025-2030 Global Ball Screw Key Vendors Sales List
Table 2025-2030 Global Ball Screw Key Vendors Sales Share List
Table 2025-2030 Global Ball Screw Key Vendors Revenue List
Table 2025-2030 Global Ball Screw Key Vendors Revenue Share List
Table 2025-2030 Global Ball Screw Demand List By Type
Table 2025-2030 Global Ball Screw Demand Market Share List By Type
Table 2025-2030 Ball Screw Regional Price List
Figure Market Size Estimated Method
Figure Major Forecasting Factors
Figure Ball Screw Picture
Figure 2020-2030 Regional Trade Balance
Figure 2020-2030 North America Ball Screw Market Size And Cagr
Figure 2020-2030 North America Ball Screw Market Volume And Cagr
Figure 2020-2030 South America Ball Screw Market Size And Cagr
Figure 2020-2030 South America Ball Screw Market Volume And Cagr
Figure 2020-2030 Asia & Pacific Ball Screw Market Size And Cagr
Figure 2020-2030 Asia & Pacific Ball Screw Market Volume And Cagr
Figure 2020-2030 Europe Ball Screw Market Size And Cagr
Figure 2020-2030 Europe Ball Screw Market Volume And Cagr
Figure 2020-2030 Mea Ball Screw Market Size And Cagr
Figure 2020-2030 Mea Ball Screw Market Volume And Cagr
Figure 2020-2025 Global Ball Screw Market Volume And Growth Rate
Figure 2020-2025 Global Ball Screw Market Size And Growth Rate
Figure 2025-2030 Global Ball Screw Market Volume And Growth Rate
Figure 2025-2030 Global Ball Screw Market Size And Growth Rate
Research Methodology
- Market Estimated Methodology:
Bottom-up & top-down approach, supply & demand approach are the most important method which is used by HDIN Research to estimate the market size.
1)Top-down & Bottom-up Approach
Top-down approach uses a general market size figure and determines the percentage that the objective market represents.
Bottom-up approach size the objective market by collecting the sub-segment information.
2)Supply & Demand Approach
Supply approach is based on assessments of the size of each competitor supplying the objective market.
Demand approach combine end-user data within a market to estimate the objective market size. It is sometimes referred to as bottom-up approach.
- Forecasting Methodology
- Numerous factors impacting the market trend are considered for forecast model:
- New technology and application in the future;
- New project planned/under contraction;
- Global and regional underlying economic growth;
- Threatens of substitute products;
- Industry expert opinion;
- Policy and Society implication.
- Analysis Tools
1)PEST Analysis
PEST Analysis is a simple and widely used tool that helps our client analyze the Political, Economic, Socio-Cultural, and Technological changes in their business environment.
- Benefits of a PEST analysis:
- It helps you to spot business opportunities, and it gives you advanced warning of significant threats.
- It reveals the direction of change within your business environment. This helps you shape what you’re doing, so that you work with change, rather than against it.
- It helps you avoid starting projects that are likely to fail, for reasons beyond your control.
- It can help you break free of unconscious assumptions when you enter a new country, region, or market; because it helps you develop an objective view of this new environment.
2)Porter’s Five Force Model Analysis
The Porter’s Five Force Model is a tool that can be used to analyze the opportunities and overall competitive advantage. The five forces that can assist in determining the competitive intensity and potential attractiveness within a specific area.
- Threat of New Entrants: Profitable industries that yield high returns will attract new firms.
- Threat of Substitutes: A substitute product uses a different technology to try to solve the same economic need.
- Bargaining Power of Customers: the ability of customers to put the firm under pressure, which also affects the customer's sensitivity to price changes.
- Bargaining Power of Suppliers: Suppliers of raw materials, components, labor, and services (such as expertise) to the firm can be a source of power over the firm when there are few substitutes.
- Competitive Rivalry: For most industries the intensity of competitive rivalry is the major determinant of the competitiveness of the industry.
3)Value Chain Analysis
Value chain analysis is a tool to identify activities, within and around the firm and relating these activities to an assessment of competitive strength. Value chain can be analyzed by primary activities and supportive activities. Primary activities include: inbound logistics, operations, outbound logistics, marketing & sales, service. Support activities include: technology development, human resource management, management, finance, legal, planning.
4)SWOT Analysis
SWOT analysis is a tool used to evaluate a company's competitive position by identifying its strengths, weaknesses, opportunities and threats. The strengths and weakness is the inner factor; the opportunities and threats are the external factor. By analyzing the inner and external factors, the analysis can provide the detail information of the position of a player and the characteristics of the industry.
- Strengths describe what the player excels at and separates it from the competition
- Weaknesses stop the player from performing at its optimum level.
- Opportunities refer to favorable external factors that the player can use to give it a competitive advantage.
- Threats refer to factors that have the potential to harm the player.
- Data Sources
Primary Sources | Secondary Sources |
---|---|
Face to face/Phone Interviews with market participants, such as: Manufactures; Distributors; End-users; Experts. Online Survey |
Government/International Organization Data: Annual Report/Presentation/Fact Book Internet Source Information Industry Association Data Free/Purchased Database Market Research Report Book/Journal/News |