Light commercial vehicles (LCVs) are cargo vehicles or multipurpose vehicles used for commercial purposes like carrying consumers, goods and other cargo. These vehicles allow transportation of loads over short distances and within cities and have advantages like affordability, maneuverability and better fuel efficiency. Growing e-commerce industry and need for last-mile delivery of goods has augmented the demand for LCVs.

Market key trends:

The Global Light Commercial Vehicle Market Size is witnessing high growth owing to rising e-commerce sector and increasing focus on digital transformation activities globally. The pandemic outbreak has accelerated the shift towards digitalization and online shopping. This has augmented the delivery needs of e-commerce companies thereby augmenting the demand for last-mile delivery fleet especially LCVs. According to Forrester Research, the global B2C e-commerce sales are expected to grow to $6.54 trillion by 2023. The growing online purchase trends have created a consistent demand for delivery fleet and this is a major factor driving growth of light commercial vehicle market over the forecast period.

Porter's Analysis

Threat of new entrants: The high initial investments required to enter the market acts as a deterrence to new players. Bargaining power of buyers: The presence of many established players provides buyers with better bargaining power and choice. Bargaining power of suppliers: Major components are sourced from a few specialized suppliers globally, increasing their bargaining power. Threat of new substitutes: Electric vehicles are emerging as substitutes but require widespread infrastructure support. Competitive rivalry: Intense competition exists between existing players to gain market share.

SWOT Analysis

Strengths: Established distribution network and brand recognition of major players. Weaknesses: Fluctuating raw material prices and higher operating costs. Opportunities: Growth in e-commerce and last-mile deliveries. Threats: Stricter emission norms requiring large investments into technology upgrade.

Read Our More Reports : https://medicalinfoblogs.weebly.com/blog/light-commercial-vehicle-market-is-estimated-to-witness-high-growth-owing-to-rising-e-commerce-industry