An industry analysis is a component of the business plan that provides statistics about the market potential of your business, product and services. This section contains specific information about the current state of the industry and target market and might contain reference materials such as spreadsheets, pie charts and bar graphs to represent the data.
Begin with an overview of the industry. Provide statistics and historical data about the nature of the industry and growth potential for your business based on economic factors and conditions. This section should not be longer than eight lines.
List the major competitors in your industry with a brief summary of their operations and similar products or services. This section can be broken down into sections, with three to four lines per business.
Summarize the nature of the industry. Include specific information and statistics about growth patterns, fluctuations related to the economy and income projections made about the industry.
Provide a forecast for your industry. Compile economist data and industry predictions for the next five, 10 and 20 years. This may include graphs of statistical data to better convey the message.
Identify government regulations that affect the industry. Include any recent laws pertaining to your industry and any licenses or authorization you would need to conduct business in your target market. This section may include information about fees and costs involved.
Explain your company's position within the industry. Include information from your Competitive Analysis and Unique Selling Proposition as well as data for direct and indirect competition. This section can be as long as one-quarter page and may be supported by graphs, charts and tables.
List potential stumbling blocks. Write a brief paragraph about factors that might negatively impact your business and what you foresee in the short-term and long-term future.