Whether you are starting a new business or entering a new market, Astrantis can help you build a robust business plan, market analysis and entry strategy, keeping into account the exogenous variables, such as: competition, market dynamics, and the economic assumptions underpinning a strategy. Astrantis produce the best results for clients by providing them deep understanding of market with clear understanding of their differentiation and strategy for succeeding in the market. We combine our advanced technical resources with commercial awareness based on our in-depth experience of specific industry. Our specialists, whilst offering leading-edge market research skills, also understand the commercial imperatives that drive business success. This unique combination of capabilities helps us analyze business impact of new technologies and innovations.
Astrantis proposes a systematic and careful industry analysis including the following:
Market Analysis: To make this section robust, we help you identify industry size, growth rates, drivers, challenges, major players, and market forecasts and emerging trends.
Target Market and Customers: Identifying and prioritizing specific target markets are another key part of your industry analysis where research is crucial. You need to think about demographics and buying behaviors of your customers? How can you best reach them? What kinds of challenges do they have? How do they like to be marketed? Below are some of the elements we cover in various aspects of industry analysis.
Background and Current Status of the Industry
Carefully define the industry. Describe the size of the industry in dollars of sales per year. What has been the trend in the size of the industry in recent years? What is the growth forecast for the industry? Describe the historic profitability of the industry. and of the industry segments (such as production, processing, manufacturing).
Competitive Analysis and Differentiation: Understanding your competition is critical to your success. This section includes an analysis of your key competitors, their products / services, their differentiators, and market shares.
Astrantis proposes a systematic and careful industry analysis including the following:
Market Analysis: To make this section robust, we help you identify industry size, growth rates, drivers, challenges, major players, and market forecasts and emerging trends.
Target Market and Customers: Identifying and prioritizing specific target markets are another key part of your industry analysis where research is crucial. You need to think about demographics and buying behaviors of your customers? How can you best reach them? What kinds of challenges do they have? How do they like to be marketed? Below are some of the elements we cover in various aspects of industry analysis.
Background and Current Status of the Industry
Carefully define the industry. Describe the size of the industry in dollars of sales per year. What has been the trend in the size of the industry in recent years? What is the growth forecast for the industry? Describe the historic profitability of the industry. and of the industry segments (such as production, processing, manufacturing).
- Describe the stage of the product life cycle of the industry’s product(s) (rapid growth, mature, etc.).
- For processing and manufacturing industries, list the total processing capacity and the amount of processing capacity being used. Show this for the current period and previous years.
- List and describe inventory (unsold product) levels in the industry. Do this for the current period and previous years.
- Describe any developments or problems the industry is experiencing.
- Is the industry dominated by supply chains or open markets?
- Which parts of the supply chain are commodities and which are differentiated products?
- Describe the supply chain relationships that may exist in this industry and describe the role of the business within the supply chain.
- How do participants create or extract value at different points in the supply chain?
- Describe how distribution works in the industry (for example direct sales to customers or sales force, retail, wholesale)?
- If targeting a niche market, identify the relevant industry segments and how they are defined.
- Provide data on the current price levels in the industry and price levels over previous years. This includes prices for final products, intermediate products in the supply chain and raw materials.
- Provide data on the profit margins for the various segments of the industry segments.
Competitive Analysis and Differentiation: Understanding your competition is critical to your success. This section includes an analysis of your key competitors, their products / services, their differentiators, and market shares.
- Industry concentration – This is a measure of the number of firms in an industry and the size of the predominant firms in the industry. It indicates the nature of the competition.
- Identify the most important players in the industry.
- What percent of the market is controlled by the largest companies (for example, the four largest firms)?
- What is the market share of each major firm?
- What is the number of firms over a certain size?
- Is there a dominant industry leader? Who is it?
- Competition from other products – The more similar a competitive product is to a product, the more competitive it will be. Branding is an effort to differentiate one product from competitive products in the eyes of the consumer.
- Barriers to entry/ease of entry – Is the industry easy or difficult to enter? If entry is easy, competitors enter the market during periods of high profitability and expand production capacity. This drives down prices and profit margins. Barriers to entry make it more difficult for competitors to enter so profit margins remain favorable.
- Barriers to entry include the following:
- Limited access to markets – If the market is dominated by well established branded products, a new entrant will need to spend the time, money and effort to establish a successful branded product.
- Large-scale production – If large scale production requires substantial financial investment, the financial requirements will be to limit entry.
- Limited access to technology or production processes – Patented technology and other intellectual property will limit entry.