Characteristics Of Emerging Industries

1738 Words Mar 17th, 2016 7 Pages
Executive Summary
Firstly, a brief and broad definition and description of emerging industries. There will then be a summary of the characteristics of emerging industries.

Introduction
An emerging industry can be described as an industry in the foundational part. It can also be explained as the instituting of a completely innovative new industrial value chain or the drastic transformation of one in existence and it is usually pushed by ideas that could be considered disruptive and could lead to the transformation of ideas into opportunities and the new products or services.
A group of companies in an industry that is formed around a new idea or product that is in its early stages of development. The typical emerging industry consists of only a few organisation and it is often centred around a new technology. The barriers of entry in emerging industries could be low because of the somewhat limited competition and it may be difficult to secure immediate financing to grow and develop.

Their marketing expenses usually are high, as the idea, product or service is often unproven and the organisations in an emerging industry need to convince investors, financers and consumers that the idea, product or service, which they are selling is actually valuable. The investment in an emerging industry is deemed a high-risk strategy, but it could also have good returns on investment and bring high rewards.

Characteristics of emerging industries
There is usually a lot of speculation when…
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