Nuclear Reactor Vendor Industry Analysis

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Robert H


Date added:

October 21, 2013








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7 / 1767


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It is however expected to rise again in the years to come , mainly because of the rise of the electricity demand worldwide (particularly in rapidly-developing countries), the awareness of the importance of energy security and the need to limit carbon emissions due to concern about global warming. Degree of rivalry In spite of a growing market, competition is fierce between the few nuclear reactor vendors and the industry is seeing an acceleration of international mergers and acquisitions as it is increasingly crossing national boundaries in a race to achieve critical mass in a high technology industry with high fixed costs and exit barriers...
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In 2006, three top level business alliances were created in the nuclear industry, combining the six companies which dominate the global market (Figure 1). Hence, the (CR)4 has recently increased to 0.6 . In addition to that, nuclear power plants orders are long term contracts and customers are not likely to switch from one vendor to another...
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