Midland Paper Competition
Now Viewing Midland Paper's competition in: Office Supply and Paper Distribution
Recent Developments
Office Vacancies in US Projected to Rise - Office vacancies in the US are expected to increase to about 17 percent by third quarter 2009, up from 13 percent in third quarter 2008, according to the National Association of Realtors (NAR). Office occupancy is an indicator of demand for office supplies. Industry observers expect the US office vacancy rate to peak at about 20 percent in 2010.
Growth Seen in Managed Print Services - As businesses seek to cut costs, office machine manufacturers are strengthening their managed print services offerings. By showing companies how to do business with less office equipment, manufacturers such as Xerox and HP have increased their service-related revenue even as printer and copier sales have declined, according to the Wall Street Journal. Growth in managed print services will reduce demand for office machines, a key source of revenue for the office supply and paper distribution industry.
Wholesale Paper Employment Continue to Slide - Employment in the US wholesale paper and paper products industry fell by more than 3 percent in 2008 compared to the previous year. Total employment for the industry, which dropped for the third consecutive year, has fallen for eight of the last nine years. Overall, employment for wholesalers of paper and paper products is down nearly 22 percent since 1999.
Competitive Landscape
Demand is closely tied to the level of business activity. The profitability of individual companies depends on merchandising and an efficient delivery system. Big companies have economies of scale in distribution because they can supply a wide range of products to the same customer. Small companies can compete successfully by distributing specialty products or providing superior customer service. Operations are highly automated. Within the wholesale segment of the industry, annual revenue per employee is about $300,000.
Full Industry Overview For Office Supply and Paper Distribution
Office Supply and Paper Distribution Industry Forecast
from Hoover's/D&B subsidiary First Research
Domestic demand for US paper and paperboard mills, stationery products, and non-paper office supplies, an indicator for wholesaler demand, is forecast to grow at an annual compounded rate of 1 percent between 2008 and 2013. Data Sourced: December 2008
Paper, Office Supplies Demand Growth Levels
First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.
First Research Industry Growth Rating
The First Research Industry Growth Rating reflects the expected industry growth relative to other industries, based on INFORUM's forecasted average annual growth for the combined years of 2009 and 2010.
- Demand: Depends on business activity
- Need good merchandising/inventory management
- Risk: Slow economy cuts business demand
Industries Where Midland Paper Competes
- Retail
- Office Products Retail & Distribution