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Battery low: Offshoring activity and intense import competition will erode revenue



Computer Manufacturing in the US

The US Computer Manufacturing industry is declining as the domestic market reaches saturation. As a result of offshoring in an effort to reduce production costs and heavy import penetration, domestic manufacturing activity has weakened. However, while demand has grown, fierce competition due to product homogeneity, which has resulted from computers being assembled from standardized components, has led to falling prices and slimmer profit margins. Although demand for computers is anticipated to increase over the next five years, US computer manufacturers as a whole are not expected to produce these goods domestically. Major manufacturers will continue to produce computer products abroad in order to take advantage of lower labor costs and be closer to semiconductor manufacturers that produce essential computer inputs.

Companies in this industry manufacture and assemble personal computers (PCs), laptops and servers. Operators typically purchase computer components (e.g. motherboards and graphics cards) from dedicated manufacturers in other industries, such as semiconductor and circuit manufacturing (IBISWorld report 33441a). This industry does not include tablet computers or manufacturers of computer monitors, mice, keyboards and printers (see IBISWorld report 33411b for more information).

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.



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Table Of Contents

Computer Manufacturing in the US - Industry Market Research Report

TABLE OF CONTENTS

ABOUT THIS INDUSTRY
Industry Definition
Main Activities
Similar Industries
Additional Resources

INDUSTRY AT A GLANCE

INDUSTRY PERFORMANCE
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle

PRODUCTS and MARKETS
Supply Chain
Products and Services
Demand Determinants
Major Markets
International Trade
Business Locations

COMPETITIVE LANDSCAPE
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalization

MAJOR COMPANIES

OPERATING CONDITIONS
Capital Intensity
Technology and Systems
Revenue Volatility
Regulation and Policy
Industry Assistance

KEY STATISTICS
Industry Data
Annual Change
Key Ratios

JARGON and GLOSSARY



MAJOR COMPANIES

Dell Inc.

HP Inc.

Oracle Corp.

International Business Machines Corp.

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