Study on Electronic Contract Manufacturing Services Market to 2017 - 2025: Hon Hai Precision Industry (Foxconn), Flextronics International Ltd, Jabil Circuit, Celestica, Sanmina-SCI, New Kinpo Group, Plexus

The report analyzes and presents an overview on "Electronic Contract Manufacturing Services Market - Global Industry Analysis, Size, Growth, Trends and Forecast 2017 - 2025" worldwide.

Electronic contract manufacturing services is a form of outsourcing that provides wide range of core manufacturing capabilities. Electronic contract manufacturing services providing companies are basically manufacturers that contracts with the organizations to manufacture electronic products on behalf of them. In contract manufacturing business, the hiring firm approaches the electronic contract manufacturers with design and specification requirements. The contract manufactures would quote material costs, tooling, labor, and other processes according to the companies design and specification requirements. Typically the hiring firm would approach multiple contract manufacturing firms for the best quotations. After completion of selection and legal formalities, the electronic contract manufacturer can now start the factory production of electronic components and devices on behalf of the hirer. There are many other industries that uses this type outsourcing manufacturing practices including semiconductor, aerospace, defense, medical, food manufacturing and others. This outsourcing practice is not suitable for small organization but it very useful for large organization who have global presence across many regions. One of the major advantage of using electronic contract manufacturing services is designing and assembling of PCB’s can be time consuming, challenging and costly to electronic operations with finite resources and also companies can focus on their core competencies better, rather than utilizing resources for manufacturing activities.

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The key drivers for the growth of electronics contract manufacturing services market includes economies of scale, advanced skills and focus on core competencies. Contract companies take multiple contracts from multiple customers. Servicing multiple customers at the same time helps them to procure large quantity of raw materials at lower prices. Furthermore, companies can take advantages of the skills possessed by the contract manufacturers that the hirer companies do not have, to manufacture the electronic goods. Contract manufacturing also helps expansion of businesses in new markets. Despite several advantages of contract manufacturing there are certain major challenges faced by the hirer organization. This challenges include intellectual property loss, quality concerns and lack of control over production. While entering into contract, a company reveals their formulas or technologies to the contract manufacturers that can lead to loss of pivotal information. Moreover the company has to rely on contract manufacturer’s suppliers for quality raw materials as well as the company lose their significant control over their product.

Electronics contract manufacturing services can be segmented according to by application, by type of contract electronics manufacturers and by region. By application, electronic contract manufacturing can be bifurcated as Electronics components, consumer electronics, industrial electronics, computers & peripherals & others. By type of contract electronics manufacturers the market can be segmented as PCB assembly manufacturers, system assembly manufacturers and design and build manufacturers.

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Geographically, by region electronics contract manufacturing services market can be segmented into North America, Middle East & Africa (MEA), Asia Pacific, Europe and South America. Asia Pacific is expected to dominate the Electronic contract manufacturing services market. China is the most influential country in the electronic contract manufacturing services, as the business ecosystem in china relies on network of suppliers, component manufacturers, government agencies, distributors who are all involved in the process of production. Lower wages, less compliances and robust supply chain are also some of the factors for the growth of contract manufacturing services in China. For instance, Shenzhen a bordering city to Hong Kong has evolved as a hub for the electronics industry.

Some of the key players in the electronic contract manufacturing services include Hon Hai Precision Industry (Foxconn), Flextronics International Ltd, Jabil Circuit, Celestica, Sanmina-SCI, New Kinpo Group, Plexus, Shenzhen Kaifa Technology, Venture, Benchmark Electronics,, Elcoteq, Universal Scientific Industrial Co Ltd, SIIX, Zollner Elektronik, Beyonics Technology and many others. These key players are constantly focusing and improvising on increasing their operational efficiencies and supply chain in order to gain competitive advantage over their competitors.

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Market segments and sub-segments
Market trends and dynamics
Supply and demand
Market size
Current trends/opportunities/challenges
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North America (U.S. and Canada)
Latin America (Mexico, Brazil, Peru, Chile, and others)
Western Europe (Germany, U.K., France, Spain, Italy, Nordic countries, Belgium, Netherlands, and Luxembourg)
Eastern Europe (Poland and Russia)
Asia Pacific (China, India, Japan, ASEAN, Australia, and New Zealand)
Middle East and Africa (GCC, Southern Africa, and North Africa)
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A separate analysis of prevailing trends in the parent market, macro- and micro-economic indicators, and regulations and mandates is included under the purview of the study. By doing so, the report projects the attractiveness of each major segment over the forecast period.

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Highlights of the report:

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Important changes in market dynamics
Market segmentation up to the second or third level
Historical, current, and projected size of the market from the standpoint of both value and volume
Reporting and evaluation of recent industry developments
Market shares and strategies of key players
Emerging niche segments and regional markets
An objective assessment of the trajectory of the market
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