Industry
Consolidation
Home appliance
industry of Europe and U.S. had matured, so consolidation is best option for
the existing firms. They either acquire the regional players to get economies
of scale or merge with the rivalries in order decrease the competition.
Globalization
For companies to
survive in this matured market, globalization is another option for the
existing firms to go into other attractive markets, beyond the boundaries of
the home country.
Innovation and
Technological Changes
In order to
attract in US matured market, companies have to come up with new features by
investing more in R & D research. For example, the washing machine industry
had progressed through technology from manual to semi-automatic to fully
automatic machines. Moreover smart appliances, internet enabled home appliances
and B2B has brought in a major change in the home appliance industry and has
opened a new market place reducing the dependability on the middle-men.
Research &
Development (R & D)
In home
appliance industry, R&D is an important driver of change as on
implementation of any new technology. For example, through consumer survey,
firms can find out the impressive characteristics which consumers prefer more.
That’s why more and more firms are investing in R & D in order to produce
the energy efficient & environmentally safe products to cater the current
demand.
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