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Home » Topics » Topic Categories » Economic Trends

Economic Trends
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November Manufacturing ISM Report On Business

December 3, 2002
No Comments
Economic activity in the manufacturing sector declined for the third consecutive month. The overall economy grew for the 13th consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business.


The report was issued today by Norbert J. Ore, C.P.M., chair of the Institute for Supply Managementル Manufacturing Business Survey Committee and group director, strategic sourcing and procurement, Georgia-Pacific Corporation. "The manufacturing sector failed to grow in November. While the Production Index strengthened, the New Orders Index softened. The PMI has averaged 49.6 percent for the past five months. The sector continues to need drivers that will help end the stagnation."


ISM's Backlog of Orders Index indicates that order backlogs ...

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Is the sky falling?

November 25, 2002
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Is the industry model of product mark-up broken? Is the sky falling? Unquestionably, every distributor is looking at every aspect of the business and industry, from model to strategy to customer base, and asking some tough questions. Based on the shifting economic realities and changes taking place in the customer base, are we positioned correctly? What are the indicators that will give us the right information to make good decisions?


The article on p. 3 offers an interesting perspective. Even if you disagree with the conclusion of General Electric CEO Jeffrey Immelt on the need to prepare for five more years of slow growth, his advice on positioning in the current environment is solid.


While distributors have historically acted as sales extensions for manufacturers they ...

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Calculation of I.D.A. Inflation Index for October 2002

November 25, 2002
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Summary of I.D.A. Inflation Index for the last 12 months:


October Index 233.9


September Index 233.7


August Index 233.6


July Index 233.7


June Index 234.1


May Index 233.5


Apr Index 234.0

Mar Index 233.8

Feb Index 234.0

Jan 2002 Index 234.0

Dec 2001 Index 233.9

Nov Index 233.5

Oct Index 233.8




Please click below to view a detailed calculation of the I.D.A. Inflation Index for October 2002, listing the ten product categories that make up the ...

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Study reveals winners and losers in B2B shakeout

November 25, 2002
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A new research study titled Shakeouts in Digital Markets: Lessons from B2B Exchanges tracks the amazingly compressed boom-to-bust cycle for Internet startups in B2B markets. The study was conducted by Professor George S. Day, Ph.D. of the Wharton School of the University of Pennsylvania and Pembroke Consulting President Adam J. Fein, Ph.D.


"Our study of eight industries found only 43 percent of independent B2B exchanges survived between April 2000 and July 2002," explained Fein. "B2B exchanges thought they had a great value proposition but actually misdiagnosed their advantage versus existing ways of doing business."


According to the study, there were an estimated 1,500 B2B exchanges operating in 2000. However, the study suggests less than 200 of these B2B exchanges will ...

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Machine tool consumption up in Sept

November 25, 2002
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September U.S. machine tool consumption totaled $177.32 million, according to AMT - The Association For Manufacturing Technology, and AMTDA, the American Machine Tool Distributors' Association. This total, as reported by companies participating in the USMTC program, was up 45.1% from August but down 32.7% from the total of $263.67 million reported for September 2001. With a year-to-date total of $1,524.71 million, 2002 is down 29.4% compared to the same period in 2001.


These numbers and all data in this report are based on the totals of actual data reported by companies participating in the USMTC program.
'Although up 45% from August, September's activity signals a delay in an investment-led recovery in this market,' said Don F. Carlson, AMT president. 'America's industrial ...

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U.S. MARKET ANALYSIS: Industrial Products MRO

November 25, 2002
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The 128 MRO industrial product groups listed here represented a market in 2001 of $418.1 billion, according to estimates by Industrial Market Information, Minneapolis. These charts show the top ten industries, by SIC code, consuming these products; and the 2001 U.S. end-user consumption of these groups by the nine government regions.


Market data and a description of 66 OEM products will be published in the next issue of MDM.


Click below on "Complete Document" to view market analysis and a description of the 128 MRO ...

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Sink or swim

November 10, 2002
No Comments
Good news has been hard to come by in 2002; the past few weeks have done nothing to increase optimism about 2003. That said, it's important to note that nearly all the public reports as well as conversations with privately held distributors provide a few rays of hope.


This newsletter is careful to accurately report the results and financial performance across several sectors of the industry, in an effort to provide some benchmarks to help readers gauge how their market is performing and how competitors are faring.


It has been extremely difficult to generalize about any aspect of this economy for industrial sectors. Most product sectors and markets continue to experience one month of 'good' or slightly increased sales, followed by a decidedly down month.


This year ...

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PTDA Market Outlook Report

November 10, 2002
No Comments
U.S. distributor sales of power transmission/motion control products from January to September increased 5.2 percent compared to year-to-date sales in 2001.

Click below to view ...
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October Manufacturing ISM Report On Business

November 1, 2002
No Comments
Economic activity in the manufacturing sector declined for the second consecutive month. The overall economy grew for the 12th consecutive month, say the nation's supply executives in the latest Manufacturing ISM Report On Business.


The report was issued today by Norbert J. Ore, C.P.M., chair of the Institute for Supply Managementル Manufacturing Business Survey Committee and group director, strategic sourcing and procurement, Georgia-Pacific Corporation. "The manufacturing sector continued its recent trend as it lost momentum again in October. There has been very little month-over-month change in manufacturing activity as the PMI has averaged 49.8 percent over the last four months. The West Coast dock strike obviously had an impact as the Imports Index fell 6 percentage ...

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Calculation of I.D.A. Inflation Index for September 2002

October 25, 2002
No Comments
Summary of I.D.A. Inflation Index for the last 12 months:


September Index 233.7


August Index 233.6


July Index 233.7


June Index 234.1


May Index 233.5


Apr Index 234.0

Mar Index 233.8

Feb Index 234.0

Jan 2002 Index 234.0

Dec 2001 Index 233.9

Nov Index 233.5

Oct Index 233.8

Sep Index 233.8




Please click below to view a detailed calculation of the I.D.A. Inflation Index for September 2002, listing the ten product categories that make up the ...

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