Blogs

Key coffee growing nations – key operational criteria analysed

Coffee is one of the world's most traded commodities, this is second only to crude oil. Moreover, coffee exports alone account for a $20 billion industry and provide livelihood to nearly 25 million people in key coffee producing nations such as Brazil, Vietnam, Indonesia, and Colombia. There are primarily two varieties of coffee and their production in the contemporary world: Arabica and ...

Cotton growing nations and key operational analysis

The key cotton producing nations are China, India, United States and Pakistan. They roughly produce 37% of global cotton, with China and India contributing 67% and 25% respectively of the aforementioned 37% global cotton output. However,  undoubtedly North America was one of the largest producers, which produced 3,222 Mn Kgs of cotton, it has slowly and steadily given way to countries...

Gold mining, movement in gold prices and operating performance of gold players

In the midst of global economic uncertainty caused by several negative factors like Brexit vote, negative interest rates and lately the slowing of the US economy (in the second quarter of 2016). The so-called “safe-haven” the yellow metal is gaining lustre once again, given the inverse relationship between economic confidence and gold prices. All these new developments have pushed gold prices...

Big and small banks, is size, the key? Elucidated through key benchmarks

The banking industry has undergone a tremendous amount of change in the past 8 years as a result of the 2008 financial crisis. During this period, many small and large banks performed badly, several were bailed out and various others changed their business strategies and operating models. These steps were taken in order to accommodate cost saving measures and enforce stricter regulations....

Restaurant Business–The Story of Long-Term Survival

The Restaurant Industry plays a pivotal role in shaping today’s world economy. The food brings distinct cultures and communities together in a truly globalised environment. With over $780 bn of sales (2015), the industry provides employment to millions of people and is one of the largest private sector employer. Although the industry is marked by low barriers of entry, the restaurant...

Motor Vehicle Parts Manufacturing: key operational criteria that define survival

The motor vehicle parts manufacturers sustain operations based on a healthy demand, driven by sales of new automobiles and demand from the replacement market.  An efficient operator in this industry will need to be extremely focussed on its cost structure to sustain the multiple volatilities that are driven by automotive demands and changes in prices of key costs. The industry consumes a...

Retail industry: analysing performance in the face of on-line retail

The global e-commerce sales were USD 994.5 billion in 2015 and are forecast to be around USD 1,506 billion in 2018 (Source: Televisory's Research). The consumer trends and preferences are changing, but these are not going to lead to the death of brick and mortar stores in the near future.     Televisory carried out a research on global companies, in a number of industry...

Surviving Coal Mines - what operational parameters have changed for surviving coal mining industry with depressing financial results

A lot is happening in the coal mining industry of late, most of which is quite painful for the stakeholders involved. There have been mine closures, suspension of coal fired power plants, bankruptcies and layoffs, to name a few. The coal industry today is stricken with number of interlinked problems, all at once: price decline, overcapacity, continuous demand contraction, haunting...

Benchmarking Construction Industry in Developed and Developing World

The construction industry plays a vital role in the economic development of a country. It contributes approximately 10% to the GDP for the developed economies and more than 4% for the developing ones (data from UNCTAD Stats). While major challenges such as capitalization, availability of labour (skilled and unskilled), technological constraints, proper planning of project timelines, etc....

Power generation: changing landscape with fluctuations in fuel costs and challenges involved.

Dominance of Coal Historically, the power generation industry has been dominated by coal as a source of fuel. The fossil fuel fulfilled 1,520 Mtoe of the 3,292 Mtoe of additional global primary energy need from 2000 to 2012, or a little more than 46%. The Economic Impact Analysis (EIA) projects, that global electricity generation is likely to increase by 69% from 21.6 trillion kWh in 2012...

Toll road, success defined even before the operations begin?

Toll road (or a tollway or turnpike) is a public or private roadway that makes travel easier and more convenient for commuters. A fee (or toll) is charged from the road user to provide this facility. A low government budget, increased demand for roadways to resolve traffic congestion, both on major highways and large metropolitan cities has facilitated the need for tollways. Nowadays, a large...

Key operational success formula in Retail Industry

The average foot-traffic and the customer conversion ratio are primary operational parameters that drive the revenue of a retail outlet. A retail store in a prime location will yield higher revenue per square foot. However, a rented retail outlet in a prime locality may have a higher rent, this may even exceed the revenue at times. A high rental expense can erode the EBITDA margin of a retail...

Outsourcing in garment manufacturing.

  A road to profit shareholders. Outsourcing can be stated as a real life implementation of the "Comparative Advantage Theory", since outsourcing, earlier has never been considered as significant, as it is in today's globalised business world. The process of sourcing goods at cheaper rates from developing countries, primarily attribute to a low cost of labour. This...

Global steel industry-witnessing integration and specialization.

It is no more a surprise that the steel industry is going through a rough patch, driven primarily by skewed demand-supply ratio. Steel experts predict a continuous slow growth and lack of demand in the near future, owing to slow economic progress in major nations. Thereby, adding further pressure for the survival of most of the existing players.     To add to...

Budget Vs Premium Airlines.

Operational benchmarks that unmask the financial performances. The strong financial performance of an air carrier requires not only a solid brand proposition, but sound operational strategies, that evolve in a continuous dynamic environment. Although the list could be exhaustive, operating characteristics include high operating margin routes, strong network on routes...

Digitization of Content a Bane for the Paper Industry.

Lead Evolution of technology and growth in the penetration of the world wide web has swung and shifted the consumer preference from accessing content in a tangible form (Books, Magazines, Journals, etc.) to retrieving it on the internet, in a digitized format. Over the past decade, this trend has adversely impacted the paper industry, specifically the companies which produce grades of...

Understanding a Classical Market Place Phenomenon Through Operational Benchmarking.

Apple Vs Blackberry In the initial phase, Blackberry was a standard executive gadget for sending and receiving emails, with its very convenient keypad and later it turned out to be a communication cum email gizmo. It was almost unimaginable to contemplate a device that could beat Blackberry in a niche market in the early 2000s. The launch of the tangible iPhone (surge of...

Why a combined Operational and Financial Benchmarking is Needed?

It is normal to come across a comprehensive financial analysis. What is missed is the fact that financial analysis is the end result of the operational performance of a company. Operational performance also highlights key factors that distinguish companies that operate in the developed world (low-interest rates, high wages) and the developing world (normally high-interest rates, low wages) and...

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...