151101_TBRC Electronic Equipment Global Market Sample Pages

Electronic Equipment Global Market Briefing 2015 The Business Research Company

Copyright of The Business Research Company 2015. All rights reserved.

Electronic Equipment Global Market Report

Electronic Equipment 2015

The Business Research Company



Contents

Electronic Equipment Global Market Report

Market Segmentation

o Product Segmentation

o Carbon And Graphite Product Manufacturing, Wiring Device Manufacturing,

Communication

And Energy Wire And Cable Manufacturing, Primary Battery Manufacturing, Storage

Battery

Manufacturing, Relay And Industrial Control Manufacturing, Switchgear And

Switchboard

Apparatus Manufacturing, Motor And Generator Manufacturing, Power,

Distribution, And Specialty Transformer Manufacturing, Other Major Household

Appliance Manufacturing, Household Laundry Equipment Manufacturing, Household

Refrigerator And Home Freezer Manufacturing, Household Cooking Appliance

Manufacturing, Small Electrical Appliance Manufacturing, Lighting Fixture

Manufacturing, Electric Lamp Bulb And Part Manufacturing, Manufacturing And

Reproducing Magnetic And Optical Media, Watch, Clock, And Other Measuring And

Controlling Device Manufacturing, Irradiation Apparatus Manufacturing, Analytical

Laboratory Instrument Manufacturing, Electricity And Signal Testing Instruments

Manufacturing, Totalizing Fluid Meter And Counting Device Manufacturing,

Industrial Process Variable Instruments Manufacturing, Automatic Environmental

Control Manufacturing, Search, Detection, And Navigation Instruments

Manufacturing, Electro medical And Electrotherapeutic Apparatus Manufacturing,

Printed Circuit Assembly (Electronic Assembly) Manufacturing, Semiconductor And

Related Device Manufacturing, Other Electronic Component Manufacturing, Audio

And Video Equipment Manufacturing.

o Customer Segmentation

Electronic Equipment Market Regional Analysis

o Global Overview

o Europe, France, Germany, Italy, Japan, Spain, Russia, United Kingdom, Rest of

Europe

o Americas, Brazil, United States, Rest of Americas

o Middle East, United Arab Emirates, Saudi Arabia

o Africa, Nigeria, South Africa, Rest of Africa

o Asia, China, India, Australia, Rest of Asia

Electronic Equipment Market Competitive Landscape

o Competitive Market Structure

o Porter’s five forces analysis

o Market Shares

o Company Profiles

o Samsung Electronics, Hewlett-Packard, Hon Hai Precision Industry, Apple, IBM, Sony,

Dell, Fujitsu, Intel and Nokia

Electronic Equipment Market Value Chain Description

o Raw Materials



o Production

o Distribution

o Marketing

Electronic Equipment Market Customer Information

o End User Groups

o Preferences

o Behaviours

o Electronic Equipment Market Suggested Strategies

o Placement

o Positioning

o Price

o Product

Interview Summaries

Appendix

Methodology



Electronic Equipment Market Characteristics

The electronic equipment manufacturing industry is classified into two major categories: electronic

products manufacturing and electrical equipment manufacturing. The scope of the electronic

equipment industry is not limited to mass market consumer products like televisions, personal

computers or smartphones etc., but also includes embedded electronics in IT infrastructure,

telecommunications equipment, the automotive, military and aerospace equipment, and medical

equipment industries.

The electrical equipment industry manufactures products like electrical motors, lighting fixtures, air

conditioning systems, house hold appliances etc. Copper, aluminum and steel are the most

important raw materials used in manufacturing these products.

The electronic products industry includes products used in professional services to boost

productivity. This professional electronic equipment does not cater to individuals but is targeted at

businesses and other organizations.

Electronic equipment industry hardware suppliers are mainly original equipment manufacturers

(OEMs), also known as lead firms, and contract manufacturers.



Electronic Equipment Sector Historic Growth

The electronic equipment sector grew from $1,346 billion in 2010 to $1,580 billion in 2014 at a

compound annual growth rate (CAGR) of 4.4%.

The figure below illustrates the year-on-year growth of the global electronic equipment market

during the period 2010-2014.

Figure 1: Electronic Equipment Historic Market Size 2010-2014

The Business Research Company Sources: TBRC Research, TBRC Analysis, Electronics Engineering Heraldi, UN Statsii

Drivers Of The Market

The key drivers of the electronic equipment industry during the period 2010-2014 include:

Emerging Markets Growth – According to the World Bank, the world’s middle class population –

defined as that earning between $10 and $100 per day – increased from approximately 1.5 to 2

billion between 2010 and 2014iii. This change was driven mainly by growth in the emerging markets

such as China and India. Increased earnings greatly increased disposable incomes in the emerging

market. This increased the demand for electronic equipment, especially consumer electronics.

Low Interest Rate Environment – During the period 2010 to 2014 interest rates in most developed

countries were very low. This created a flow of cheap money for investment, both in developed and

developing economies. It also encouraged borrowing and discouraged saving in advanced markets,

helping to drive spending. The electronic equipment market benefited from the flow of cheap

money during this period.

Technology Development - The period 2010-2014 saw technological development as a key driver of

the global economy. During this period the value of the NASDAQ index of technology stocks in the

USA increased more than 100%iv. Areas of rapid technological change included electronic



Segmentation The largest market segments in the electronic equipment sector as of 2014 were semiconductor and

related devices, search, detection, and navigation instruments, and electro-medical and

electrotherapeutic equipment.

Semiconductor and related devices were the largest market segment market in the electronic

equipment industry at 18.2% of the global market worth about $288 billion. This segment mainly

consists of semiconductor diodes and stacks, rectifiers, integrated microcircuits, transistors, solar

cells, and light sensing and emitting semi-conductor (solid-state) devices. Semiconductors are

essential components of many consumer electronics, automotives, communication infrastructures,

and enterprise and retail devices.

Figure 2: Global Electronic Equipment, Market Segments, 2014

The Business Research Company Sources: TBRC Research, TBRC Analysis, ibis worldv

Search, detection, and navigation instruments were the second largest sector at 12.8% of the global

market worth about $202 billion. Important products in this segment are radar systems, sonar

systems, countermeasures equipment, aircraft and missile control systems and equipment, flight

and navigation sensors, transmitters, gyroscopes, airframe equipment instruments, and speed,

pitch, and roll navigational instruments and systems. As these products are used in various verticals

including military, transportation, security, etc., use of these instruments is high and thus occupies a

notable share of the electronic equipment market.



Electronic Equipment Market Geography Split

The largest geographic markets by consumption in the electronic equipment sector are Asia, the

Americas and Europe.

Asia is the largest geographic market in the electronic equipment sector at 41.0% of the global

market, worth about $648 billion. Japan, Korea China, Taiwan, India and Singapore are the principal

manufacturing hubs for electrical and electronics products in Asia. The demand for the electronic

goods is continually increasing in many emerging Asian regions. Innovation, price deflation and

growing household incomes are key factors which make Asia occupy the highest rank in global

electronic equipment markets.

Figure 3: Global Electronic Equipment Market, Geographic Segmentation, 2014(e)

The Business Research Company Sources: : TBRC Research;TBRC Analysis; Market Linevi; Ministry of Heavy Industries & Public Enterprises, Government of Indiavii



Electronic Equipment Market Competitors

The electronic equipment market is fragmented. The market shares of top five competitors in the

market made up 27.2% of the total in 2014. Samsung Electronics was the largest competitor with

11.7% of the market, followed by General Electric with 9.4% and Siemens with 6.1%.

Companies with diversified portfolios which satisfy both the personal and professional needs of

consumers gained the highest market shares in 2014. The key players are investing in advanced

technologies and are focusing to further improve their product portfolios to maintain and increase

their market shares.

The figure below shows competitor shares of the top companies in the electronic equipment market.

Figure 4: Global Electronic Equipment Market, Top Competitor Shares, 2014(e)

The Business Research Company Sources: TBRC Research, TBRC Analysis, Company Annual Reportsviii

Samsung Electronics

Samsung Electronics Co. Ltd (Samsung) was the largest competitor in the electronic equipment

market in 2014 with an 11.5% market share. Samsung is a global electronics company

headquartered in South Korea. It has many subsidiaries across the globe.

Samsung operates through three business divisions which include consumer electronics (CE),

information technology and mobile communications (IM), and device solutions (DS). The CE business

division consists of visual display business, digital appliances business, printing solutions business



General Electric

General Electric (GE) was the second largest competitor in the electronic equipment market in 2014

with a 9.4% share of the market. The company employs approximately 305,000 people worldwide

and serves customers in approximately 175 countries.

The products and services of the company range from aircraft engines, power generation, oil and gas

production equipment, and household appliances to medical imaging, business and consumer

financing and industrial products. The company operates through eight businesses based on the

Siemens

Siemens AG was the third largest competitor in the electronic equipment market in 2014 with a 6.0%

share of the market. Siemens is a globally operating technology company headquartered in

Germany. It operates 289 major production and manufacturing plants worldwide with around

343,000 employees.ix

Siemens’ core activities include electrification, automation and digitalization. The company is

currently operating through nine divisions – power and gas, wind power and renewable, power

generation services, energy management, building technologies, mobility, digital factory, process

Sony Corporation

Sony Corporation was the fourth largest competitor in the electronic equipment market in 2014 with

a 4.0% share of the market. Sony and its consolidated subsidiaries are mainly engaged in engaged in

the development, design, manufacture, and sale of various kinds of electronic equipment,

instruments, and devices for consumer, professional and industrial markets as well as game consoles

and software.x

• Production, acquisition and distribution of motion pictures and television programming and the

operation of television and digital networks.

Intel

Intel was the fifth largest competitor in the electronic equipment market in 2014 with a 3.5% share

of the market. The company is engaged in the design and manufacture of advanced integrated

digital technology platforms. The platforms basically consist of microprocessors and chipsets. These

platforms can also be integrated with additional hardware, software and services.

Intel’s platforms are used to deliver a range of computing experiences in notebooks (including

Ultrabook devices), 2 in 1 systems, desktops, servers, tablets, smartphones and the internet of

things (including wearables, transportation systems and retail devices). xiIt also develops and sells

software and services focused on security and technology integration.



Appendix Abbreviations

1. CAGR : Compound Annual Growth Rate

2. CE: Consumer Electronics

3. DCG: Data Center Group

4. DS: Device Solutions

5. EMS: Electronics Manufacturing Services

6. FPGA: Field-Programmable Gate Array

7. GE: General Electric

8. GPS: Global Positioning Systems

9. IM: Information technology and Mobile communications

10. IOTG: Internet of Things Group

11. M2M: Machine-to-Machine

12. MCG: Mobile and Communications Group

13. MRI: Magnetic Resonance Imaging

14. NPI: New Product Introduction

15. ODM: Original Design manufacturing

16. OEM: Original Equipment Manufacturers

17. PCCG: PC client group

18. RFID: Radio Frequency Identification

19. SSG: Software and Services Group

Currencies

$ stands for US Dollar

€ stands for Euro

All other currencies are given with ISO currency codes.

Definitions

Add definitions as required

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