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Industry Analysis: Consumer Electronics - Research Paper Example

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Table of Contents 1 Executive Summary 4 2 Consumer Electronics Industry: An Introduction 4 2.1 Consumer Electronics (CE) Value Chain 5 3 Market Overview 6 3.1 Market Size and Growth 6 3.2 Market Share – Geography wise 6 3.3 Market Share – Segment wise 7 3.4 Key Players 7 3.5 Key Drivers of Growth 8 3.6 Key Issues and Challenges 9 4 Channel Analysis 9 5 Market Environment: Function of Product Life Cycle 11 11 6 PESTEL Analysis 12 6.1 Political Factors 12 6.1.1 CEA and the Political Action Committee 12 6.2 Economic Factors 12 6.3 Social Factors 13 6.4 Technological Factors 13 6.5 Environmental Factors 13 6.6 Legal Factors 14 7 Porter’s Five Forces Analysis 14 7.1 Threat of New Entrants (L…
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Industry Analysis: Consumer Electronics
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Download file to see previous pages Duell, US Commissioner of Patents, in 1899 (Quotations Page, 2005). Duell was clearly off-mark considering the amount of innovative technologies has surfaced primarily in the Consumer Electronics Industry. The rapidly changing landscape of the industry was hard hit by the economic crisis in 2008-10, seeing volume and value sales drop for the first time since 2002. Other trends in this industry include emergence and rapid growth of technology convergence such as smart phones, Blue-Ray 2.0 video players and multimedia content delivery. This report analyses the consumer electronics industry in detail, studying both internal and external factors and complexities driving the market. 2 Consumer Electronics Industry: An Introduction Consumer electronics refers to a device that contains an electronic circuit board and is intended for everyday use by individuals. The umbrella of consumer electronics includes televisions, cameras, digital cameras, PDAs, calculators, DVDs, audio devices, headphones, camcorders and many other home and business products. Entertainment, information and communication are the main fields of application of these products. Since the term “consumer electronics” encompasses a diverse range of products from home theatre systems to cellular phones to personal computers, it is important to further classify the industry into mutually exclusive segments, which are: 1. Computers and Peripherals: This segment includes desktops, laptops, and all other peripherals such as optical and magnetic storage, monitors and keyboards. 2. In-Home Consumer Electronics: In-home consumer electronics segments include home audio and cinema products, televisions and projectors and video players. 3. In-Car Entertainment: This segment includes in-car media players, in-car navigation system, In-car speakers and other in-car entertainment. 4. Portable Consumer Electronics: Portable consumer electronics sub-segment includes cameras, camcorders, portable media players and mobile phones (wireless telephone handsets only). Since the latitude of this industry is very wide with no standard boundaries of the industry, home electrical appliances such as refrigerators, washing machines, dishwashers, air conditioners etc. are not considered consumer electronics in this report. 2.1 Consumer Electronics (CE) Value Chain There are different business models under which consumer electronics industries operate. Based on these business models, the value chain for the sector can change. Consumer electronics engage in OEM (Original Equipment Manufacturers), ODM (Original Design Manufacturers), OBM (Original Brand Manufacturers) or a combination of all. Many companies concentrate on R&D in their home country and place their manufacturing activities in other parts of the world (FHKI, 2010). Following would be a generic value chain for the CE industry. Most global companies such as Apple, Sony etc. design, produce and market their products on their own. 3 Market Overview This part of the report will analyze the market trends for the CE indust ...Download file to see next pagesRead More
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