2014-03-06 01:07:01 - Internet Software - Services - Industry Analysis - a new market research report on companiesandmarkets.com
The Internet Industry consists of companies that provide a wide variety of products and services primarily online through their Web sites. Operations include, but are not limited to, search engines, retailers, travel services, as well as dial-up and broadband access services. As product offerings can vary widely within the industry, participants don´t all compete with each other. The industry is not particularly capital intensive, although some participants must continually invest in their operations to remain competitive. Many companies have healthy cash flow, which can be used for capital expenditures, to make acquisitions, and to repurchase shares. Companies in the Internet Industry operate in a highly competitive environment, subject to rapid technological change. Barriers to entry vary, depending upon
the particular markets served. Internet companies operate on the global stage, and results often depend upon the performance of overseas markets and currency exchange rates. Moreover, weakness in the retail economy or lower online advertising expenditures can hinder the performance of many participants. Still, long-term prospects for the industry are fairly encouraging. Trends such as increasing worldwide Internet usage, overseas expansion, and the continued popularity of online advertising ought to further benefit companies in this industry. As a result, many industry participants seem well-positioned in attractive markets.
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