| SIC Codes: | 2731 |
| NAICS Codes: | 511130 |
Companies in this industry publish fiction and non-fiction books in print and digital formats. Major companies include John Wiley & Sons, McGraw-Hill, Pearson, and Scholastic, as well as publishing units of large media companies such as HarperCollins (owned by News Corp); Random House (owned by Bertelsmann); and Simon & Schuster (owned by CBS).
Demand for books is driven by demographics and is largely resistant to economic cycles. The profitability of individual companies depends on product development and marketing. Large publishers have an advantage in bidding for new manuscripts or authors. Small and midsized publishers can succeed if they focus on a specific subject or market. The industry is highly concentrated: the top 50 companies generate about 80 percent of revenue.
Textbooks and adult trade books (books for general reading) each account for about 25 percent of revenue. Other categories include professional books (20 percent of revenue), children's books (10 percent), and reference books (5 percent).
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