Not counting the low-end bicycles sold at Wal-Mart etc., the bicycle industry is led by Trek, Cannondale, Specialized, GT, Scott (which bought Schwinn when it failed) and many other firms. Basic financial data can be found from Cannondale (Trek is private).
The bulk of the high-end bicycles are probably sold between $500 and $1000, but there is an increasing number costing $2000 and more. Price is largely affected by tube material and component group. Carbon fiber and titanium tubes are considerably more expensive than aluminum and steel (the cheapest).
There are few suppliers of bicycle components. Shimano is the clear leader with products at every price range and probably an 80% market share. Higher prices usually get you lighter, stronger components.
The big bicycle companies make several models in different (fixed) sizes. Since most companies use slightly different geometries and component groups, customers can often find what they want without requiring a custom builder. In the U.S., there are several small frame builders who will build a custom frame (usually steel or aluminum). In Japan, Panasonic builds thousands of custom bicycles much like the Rolling Thunder case.
Information can be found on the Web in several places. First, look for financial data on Cannondale. Second, look for technical information in the Research Links on the textbook home page.
|Order Form||Bicycle Assembly|
|Purchase Order||Receive Supplies|
|Customer Transactions||Manufacturer Transactions|
|Company Operations||Bicycle Industry Value Chain|
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