Blogs

Brazilian ethanol industry’s performance and key trend analysis

Brazil is the second largest producer and consumer of ethanol, accounting for one-third of the global ethanol production and ethanol consumption. In Brazil, ethanol utilises sugarcane as feedstock. The emergence of the ethanol industry in Brazil dates back to 1930s when the ethanol was blended with gasoline in order to accommodate fluctuations in sugar demand coupled with a need to reduce...

Soybean price trend analysis

Soybean is a cash crop and is one of the most versatile crops. It is a foremost provider of the vegetable oil, protein and feed in the world. It accounts for 8% of the total arable land available globally. The production of soybean is highly concentrated within the four countries, the United States, Brazil, Argentina and China. These nations account for 86% of the total crop output. The...

The closure of Finish Line sportswear stores, reasons and outcome

Finish Line is regional sportswear retailer in the United States and few of the significant peers of the firm are Dick’s Sporting Goods and Foot Locker. In the past 5 years, the revenue of Finish Line, Foot Locker and Dick’s Sporting Goods increased at a CAGR of 8.4%, 7.1% and 8.7% respectively as shown in the below graph. The revenue growth was due to an increase in Finish Line...

Power generation in the US, shifting landscape from coal to NG

Historically, the United States which is the world’s largest economy has maintained a significant share in the total global power generation sector. In 2015, its share in the overall power generation stood at 17.6% second only to China, whose share was 24.11%. The analysis of the power industry’s structure in the US, specifically during last two-three decades reveals that the country has seen...

US ethanol industry, exports to drive the growth with saturation in the domestic market

The ethanol produced from biomass is used in various industries such as pharmaceuticals, cosmetics, beverages, fuel additive, etc. In the past few decades and especially in the last ten years it has emerged as an alternative source of clean fuel across the world due to its favourable blending qualities with gasoline. This includes a high octane number, high oxygenation, lower GHG emissions and...

Analysing growth strategies of key LED manufacturers

The LED manufacturing is a perfect example of an industry where the government, industry participants and consumers came together to create an energy efficient option which proved to be competitive and helped reduce greenhouse emissions. The lighting market was initially dominated by incandescent and linear fluorescent lamps. However, the more efficient but relatively expensive LED has quickly...

Ambulatory surgery centers, an alternative to hospital outpatient departments?

Ambulatory surgery centers (ASCs) are health care facilities that offer short-stay surgical and emergency procedures to patients, who do not require an overnight stay in a hospital. ASCs came into existence around four decades ago in Arizona (USA) by two physicians as an alternative to overcrowded and costly HOPDs (Hospital Outpatient Departments) at hospitals marred by slow operation room...

Footwear marathon, an analysis of operations and returns

The global footwear market is expected to reach US$ 350 billion in revenues by 2020. Presently, the market size is pegged and estimated at US$ 260 billion, with c. 35% or approx. US$ 92 billion of the market share, attributed to Athletic Footwear (A.F). The remaining 65% of the market share is claimed by Non-Athletic Footwear (N.A.F). However, the athletic footwear industry is expected to grow...

Eyewear manufacturing industry, a study of present operational scenario and future potential

The global eyewear market, which is primarily driven by demographics, lifestyle and the ageing population, stood at USD 102.7 billion in 2015 and is expected to reach USD 141 billion by 2020. Spectacles hold a major share in the eyewear market with over 55% of the total volumes. However, the market for contact lenses and sunglasses is expected to grow substantially at a CAGR of 12% and 9%...

Potash market facing a glut

Potash is one of the three main nutrients in the global fertiliser industry and 90% of the produced potash is consumed as a fertiliser in agricultural crops such as wheat, rice, corn, oilseed and sugar. The global demand for potash has been increasing owing to a rise in demand from China, India and Latin American nations since they lack indigenous production. But, this increase has led to a...

Household electric appliance manufacturing, the key players and their vigour to balance costs and returns

The household electric appliance is one of the most important consumer-centric household industry. The rise in the per capita and personal disposable income has led to an increase in the consumption of household appliances and this is forecasted to reach around USD 345 billion by 2020. The revenue generation in the industry from developed economies has, however, seen a dip in the past years...

PGM mining, the impact on operation amidst long-standing labour issues in South Africa

The last few years were not very good for most precious and base metals since prices fell due to weak demand. Additionally, there was an excess supply of most metals globally. Among the precious metals space, platinum too recorded a decline with its prices dipping from the highs of $1700 in 2010 to the lows of $1000 during 2016. A decline in end product price dragged the margins of major...

Healthcare REIT sector: key developments in context of the US

Healthcare REITs are real estate investment trusts which own healthcare-related properties, majorly Senior Housing Communities (SHC), Skilled Nursing Facilities (SNF), Medical Office Buildings (MOB) and Hospitals, etc. They earn rental revenue from leasing these properties to health care and related organisations. The healthcare REIT like any other REIT earn a tax-free income, in return, they...

What lies in the future for Ingenico and Verifone with the rise of regional POS manufacturers and mobile wallets?

The market for payment processing terminals manufacturing and payment processing has been globally duopolistic until recently. This was dominated by the two companies established in 1980’s, Verifone, based out of the US and Ingenico, based out of France. Traditionally, the industry was marked by entry barriers in the form of a high initial capital requirement, a higher research and development...

The US auto finance industry, understanding the reasons behind the dominance of captive OEM financiers

The growth in the auto finance market is dependent on auto sales supported by strong economic fundamentals such as rising incomes, well-structured labour market, favourable tax rates, low-interest rates, low fuel prices and investments in automotive factories and their capacity expansion. The auto sales in the US recorded a volume sales of more than 17 million units in 2015 and reached 17.91...

Asset light model in the restaurant industry, a comparative analysis of the impact and the performance of fast food and casual dining restaurants

The asset light model is a business strategy, where an organisation focus on growth with relatively low capital investment. This results in capital efficiency by focusing capital on core assets and result in the best return for investors. This is achieved through a reduction in spending on owning a network, infrastructure and manpower by outsourcing, licensing or asset sharing, etc. While an...

Downfall of Hanjin Shipping

The industry is marred by a slow growth in the world trade and overcapacity In the pre-recession period (i.e. before 2008-09), the world trade was booming and freight rates were peaking. But in late 2008 to 2010, the container trade declined under the reeling impact of global recession. There was a slow recovery in the container trade, which mainly comprised electronics, packed food...

Recovery still far away in the global graphite electrode manufacturing industry

The graphite electrodes find application mainly in the steel manufacturing through Electric Arc Furnace (EAF) route. EAF steel is mainly produced in EAFs by melting steel scrap through the generation of heat with the help of electricity. Graphite electrode act as an electrical conductor in the furnace owing to its high electrical and thermal conductivity and higher-temperature strength,...

Battle of the Low-Cost Carriers

The aviation industry has witnessed a mammoth growth in the last decade. IATA or the International Air Transport Association reported that revenues in the sector increased to $746 billion (2014) from $369 billion (2004). A significant portion of this growth can be attributed to the low-cost carrier segment, which is said to account for about 25% of the market share. LCCs or the “no-frills...

Ore export ban by the Philippines, is it economically beneficial?

Indonesia’s ban on unprocessed mineral export in 2012 turned out to be a boon for the Philippines as it swiftly replaced Indonesia as the top supplier of some of the raw mineral ores to China, specifically the nickel ore. China’s nickel ore import from the Philippines increased by 22% to ~36mn tonnes in 2014. However, soon (in Jul 2014) Philippine’s government realised that despite being the...

Slack set out to kill E-mail

Started as a side project for internal use in a gaming company High revenue growth with recurring revenues Went Public by offering shares through the Direct Public Offering ...

Tire manufacturing industry, analysing the cost and margin trends

The global market for tire manufacturing stands at $180 billion. Michelin anticipates the long-term demand to rise at the rate of 5 to 10% a year in developing markets and 1 to 2% a year in mature...

An analysis of Malaysian rubber glove industry

How big is the international rubber gloves market? Reasons behind the healthy and steady growth Malaysia’s role in the industry Why are companies struggling for stable...

Failure of Amazon in China, an analysis

E-commerce market in China Online consumer product retailers in China Performance of Amazon in China   Amazon is a global e-commerce player selling a wide...

Rapidly growing Indian online food delivery industry and its unrealised profits

Evolution of online food delivery industry in India Geographical penetration and scope for expansion Key players and their zeal to balance revenue and costs   Online...

Can lithium-ion anode demand for needle coke reduce availability for electrode players?

What is needle coke? Uses of needle coke Lithium-ion battery manufacturers demand needle coke   Needle coke? Needle coke is a specialised form of petroleum coke...

Is the radio broadcasting industry in the U.S. dying? An analysis

Radio, the most powerful medium of reach in the U.S. Why the industry is moving at a slow pace? Radio’s health is still sound, will it continue in the long-term?   ...

Carbon black industry, strong potential for supernormal profitability?

What is carbon black? Its uses Impact of the environmental curbs in China   What is carbon black? Carbon black is a fine carbon powder and it is a disorderly...

Housing finance market in India. Is affordable housing driving the growth?

Overview of the housing finance sector in India Key players dominating the segment and their dynamics Factors driving aggressive demand for housing   The housing...

Sri Lankan economic and political crisis

Sri Lanka’s latest political crisis, who governs the nation? Poor economic indicators adding to the nation’s woes   Sri Lanka is currently embroiled in a political crisis,...

Blockchain, an emerging concept, a disruptive technology (Part 1)

What is blockchain? How is blockchain revolutionary? Cryptocurrency, the new money ICOs, the new way of raising money Summary Blockchain is a software architecture...

Indian wood panel industry, growth drivers and present trends

Current market scenario in the Indian plywood industry Growth in the housing sector and rapid urbanisation to provide the boost GST rationalization to reduce price difference...

Rice industry outlook 2018

Major rice producers and consumers Global rice trade Factors dominating the trade   Rice is the 3 rd largest produced agricultural commodity in the world, after...

Rise of Ant Financial, will the success story continue?

What is Ant Financial? Journey to become king of unicorn Will regulatory curbs hinder its success journey?    Ant Financial, an affiliate and integral part...

Malaysian rubber glove industry, an update

Rising global demand for gloves Impact of USP 800’s implementation and the US-China trade war on Malaysia’s rubber gloves industry Key challenges for the Malaysian rubber...

Unnoticed growth of the media and entertainment industry in India

Overall industry brief Growth of the M&E industry and its segments Major supporting elements of this growth   Media and Entertainment (M&E) is a very wide industry...

Baidu’s Apollo, the underdog of autonomous driving platform

Overview of the autonomous vehicle sector in the global automobile industry Search giant Baidu’s entry into the autonomous driving space Baidu’s approach in becoming a front-runner...

Battle for the textile and apparel industry in Southeast Asia

The reasons for China’s decreasing presence in the industry Initiatives by the governments in Southeast Asia to boost the textile trade Vietnam and Bangladesh’s quest to conquer...

OYO Rooms, an Indian start-up to enter Japan

Growth story of OYO Rooms in India Business model of OYO Rooms Analysis of strategy to enter Japan   OYO Rooms, the Indian start-up has decided to venture in Japan...

What’s in store for India’s first commercial REIT as it hit the market with Blackstone teaming up with Embassy Group

Overview of the partnership and assets of Embassy Office Parks Comparison of the Indian commercial office market space with other developed markets Road ahead for India’s...