Globalisation has created remarkable options for forklift end users and, as customers' brand loyalty decreases as they opt for manufacturers with better prices, regional manufacturers could be forced out of the market unless they upgrade their business processes.
Those are the findings of a new report, "North American Forklift Markets", by researcher Frost & Sullivan. The report said the US market generated USD6.4 billion in revenue last year, and projected the figure would grow to USD8.6 billion in 2010.
Frost & Sullivan analyst Rajender Thusu said US manufacturers could not afford to limit production to select regions and overlook the challenges and opportunities presented by globalisation.
"Companies have to be active and responsive to the globalisation of business through an international network of distribution channels, the internet or other sources to stay viable," he said.
Without substantial value additions, major clients were likely to redirect their business to truly international suppliers that could provide a more complete package, the report said. Mediocre customer service, technical advice and spare parts service would drive customers away.
Forklift companies that took part in the research included Atlet, BT, Clark, Crown, Daewoo, Elwell-Parker, Gehl, Gradall, Hoist Liftruck, Hyster, Hyundai, JCB, Komatsu, Landoll, Linde, Manitou, Mitsubishi-Caterpillar, Nissan, OmniQuip, Tailift, TCM, Toyota and Yale.