Strategy&’s annual collection of industry perspectives addresses the major trends and challenges to help companies assess the risks and opportunities they need to consider right now.
This year we offer commentary across various industries to help you navigate the challenges and seize opportunities.
2018 Industry Trends
The aerospace and defense industry is at a crossroads. Traditionally highly averse to risk, A&D companies must take a bolder approach to compete with hungry, nimble new entrants that are making inroads in this sector. Renewed investment in R&D, incentive programs that reward innovation success, partnerships with startups, and a more tech-savvy workforce are options that lead to a lucrative future.
In 2018, the chemicals industry may be approaching more profitability. Prodded by accelerating technology advances, some companies have begun to rethink their growth strategies, finding new ways to benefit from mergers and acquisitions, digital products and services, and even political forces affecting global trade. Three strategic imperatives will be critical to their success.
The industrials manufacturing industry, like many others, is confronting uncertainty in the face of digitization and new customer expectations. Amid many disruptions, perhaps none matches the scope of the Internet of Things. Connected industrial equipment with sensors, actuators, and data exchange will drive new sales growth, but to invest in digital technologies, companies will have to free up capital by honing their product offerings. We map out two paths for rightsizing your portfolio and navigating toward a more digitally oriented future: spin-offs and digital divisions.
The oil and gas industry in 2018, with prices rebounding, feels much healthier than it did 12 months ago. But with demand high, the sector could be heading into a supply crunch. The fundamental challenge is the intrinsic volatility in the sector, stemming from fluctuations in supply and demand and energy’s transition to non-fossil fuel sources. Producers need to “future-proof” their strategy, and we offer several ways to do that.
2017 Industry Trends
After decades of being the big players in a global pond, defense contractors must reinvent themselves as local businesses around the world.
The current wave of innovation is profoundly altering cars and making them more expensive to manufacture. Three actions could provide relief for OEMs and suppliers.
Chemicals companies face a formidable challenge: delivering profitable growth in a hypercompetitive, low-growth world.
The good news may be in the past, and now is the time for airlines to digitize and reassess their competitive positions.
