Industry Factors & TrendsRead the signs
Describe factors and trends affecting your industry and consider their implications for your business. Issues to think about include:
- Demographic - The basic characteristics that your customers tend to have in common, like age, income level, geography or gender
- Social - Fads or shifts in popular opinion, often strongly influenced by the media, including television shows and commercials, sports teams and icons, magazines and peer pressures
- Economic - The state of the economy, both on a local and national level.
- Technological - How technology is affecting your industry
- Regulatory - The role government or other rule-making bodies play in your industry.
- Environmental - Your industry's relationship with the environment. Consider trends, like a call for environmentally-friendly products.
Based on the factors and trends you've described, what's the outlook for your industry for the next 3 to 5 years?
At a Glance
Once you understand your market, you can define your place in it.
Imagine you have no competition, and your customers' only option is to buy your product or service. How many customers would you have? How much money would your business make? That's the size of your market.
When estimating the size of your market, consider industry factors and trends, and pay special attention to those you think present special opportunities or challenges for your business.
Focus on what's right for your business and consider doing some research at GDSourcing. If you can, quantify your market in terms of dollars in sales.
If you can't find the exact information you're looking for, work with what you know.