Business Monitor International


Venezuela Consumer Electronics Report

Published 12 December 2014

  • 62 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
Venezuela Consumer Electronics Report

BMI View: The prospect of currency unification in 2015, which is our in-house Country Risk team's core scenario, is expected to add to the negative trends already impacting consumer electronics spending in Venezuela and result in a sharp contraction in US dollar spending. Meanwhile, t he push by the government to implement the 'fair price' law in H114, which restrict ed vendor margins to 30%, means vendors face continued political as well as economic risk factors. The law adds to a hostile business environment and exacerbates existing challenges for vendors including currency weakness, and economic, political and security risks that are weighing on purchasing power and consumer confidence. As the economy is stabilised in the latter years of our forecast period we believe there is considerable potential in the Venezuelan market, with vendors potentially able to tap opportunities arising from low device penetration in key categories such as smartphones, tablets and flat-screen TVs, as well as pent up demand from a period of economic instability.

Headline Expenditure Projections

  • Computer Hardware Sales: USD917mn in 2014 to USD517mn in 2015. Demand expected to contract in real terms as high inflation and the devaluation of the bolívar reduce household spending power, while also raising the price of components required for local assembly.

  • AV Sales: USD854mn in 2014 to USD721mn in 2015, -15.6% in US dollar terms. Demand for flat-panel TV sets hit by currency weakness, and we expect the market will continue to contract beyond 2015.

  • Handset Sales: USD1.1bn in 2014 to USD1.0bn in 2015, -5.8% in US dollar terms. The relative strength of local handset manufacturing and operator subsidies will help to absorb some of the impact of devaluation, resulting in stronger performance compared with the other consumer electronics segments.

Key Trends & Developments

BMI expects unification of exchange rates for the bolivar in 2015 to prove a major disruptive...

Table of Contents

BMI Industry View
7
SWOT
9
Political
10
Economic
11
Business Environment
12
Industry Forecast
13
Table: Consumer Electronics Overview, 2010-2017
14
Macroeconomic Forecasts
17
Economic Analysis
17
Table: VENEZUELA - ECONOMIC ACTIVITY
23
Industry Risk Reward Ratings
24
Industry Risk/Reward Ratings
24
Table: Latin America Risk/Reward Ratings
26
Market Overview
28
Computers
29
Table: PC Sales, 2010-2017
29
AV Devices
33
Table: AV Sales, 2010-2017
33
Mobile Handsets
37
Table: Table: Mobile Communications, 2010-2017
37
Competitive Landscape
42
Industry Trends And Developments
47
Industry Trends and Developments
47
Regulatory Development
52
Company Profile
54
Venezuela de Industria Tecnologica
54
Demographic Forecast
56
Table: Venezuela's Population By Age Group, 1990-2020 ('000)
57
Table: Venezuela's Population By Age Group, 1990-2020 (% of total)
58
Table: Venezuela's Key Population Ratios, 1990-2020
59
Table: Venezuela's Rural And Urban Population, 1990-2020
59
Methodology
60
Methodology
60
Electronics Industry
60
Sources
61

The Venezuela Consumer Electronics Report has been researched at source and features latest-available data covering both the manufacture and sale of consumer electronics products, critically analysing - and forecasting - the market dynamics affecting each sub-sector, including audio-visual, computers, mobile handsets, gaming and automotives electronics. Furthermore, the report analyses the domestic and global economic trends driving device demand and provides company rankings and competitive landscapes covering leading multinational and national consumer electronics companies and analysis of latest industry news and trends in Venezuela.

Business Monitor International (BMI)'s Venezuela Consumer Electronics Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the consumer electronics industry in Venezuela.

Key Benefits

  • Benchmark BMI's independent consumer electronics industry forecasts for Venezuela to test other views - a key input for successful budgeting and strategic business planning in the Venezuelan consumer electronics market.
  • Target business opportunities and risks in Venezuela through our reviews of latest industry trends and major deals, projects and investments.
  • Exploit the latest competitive intelligence with company SWOT analyses.

Coverage

BMI Industry View

Summary of BMI's key industry forecasts, views and trend analysis covering consumer electronics, major investments and projects.

Consumer Electronics Market

Analysis of the size of the domestic market for electronics products, with in-depth assessment and data covering the dynamics driving each sub-sector; audio-visual, computers, mobile phone handsets and gaming devices, as well as demand for automotives electronics.

Electronics Industry

Analysis and data of the domestic electronics manufacturing sector. We assess the regulatory and business operational issues facing manufacturers - including openness to foreign investment, infrastructure, IP issues and the global demand context - and their impact on the production of electronics goods, which is again broken down via market sub-sectors.

Industry Forecast Scenario

Historic data series and forecasts to end-2018 for all key industry and economic indicators (see list below), supported by explicit assumptions, plus analysis of key risks to the main forecast, covering computers, communications and gaming devices. Indicators include:

Industry value (US$bn); population (mn); nominal GDP (US$bn); real GDP growth (%), GDP per capita, industrial production Index (% y-o-y ave.) unemployment % of labour force.

Business Environment Rankings

BMI's Consumer Electronics Business Environment Rankings provide a country-comparative Risk-Reward Rankings index aimed at investors and participants in the regional consumer electronics market. The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points.

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Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc