The industry focuses on the following areas:
- Vehicle and garage trade
- Wholesale trade in all areas
- Retail sales in all areas (stores, gas stations, pharmacies, convenience stores, etc.)
- Accommodation services (hotels, B&Bs, vacation units, hostels, student dormitories, etc.)
- Food and beverage services (restaurants, banquet halls, catering, meal preparation for airplanes and schools, kiosks, stalls, cafes, etc.)
The industry has been growing at a rate of about 5% in recent years, but its share of GDP has remained stable at 12-13%. The reason is more significant growth in the high-tech and construction industries.
The trade sector employs about 750,000 people, more than any other industry, but unfortunately, their salaries are low.
Important indicators
| From NIS | 2005 | 2015 | 2016 | 2017 | 2018 | 2019 | ||
| Industry GDP | From NIS | 140 | 150 | 160 | 165 | 176 | ||
| Share in GDP | % | 12 | 12.3 | 12.6 | 12.4 | 12.5 | ||
| Sales | From NIS | 548 | 574 | 619 | 644 | 661 | ||
| export | From NIS | |||||||
| Employed | Thousands | 679 | 718 | 718 | 732 | 740 | ||
| Average monthly salary |
trade | Thousands |
8-9 | 8-9 | 8-9 | 8-9 | 8-9 | |
| Accommodation and food services | 4-5 | 4-5 | 4-5 | 4-5 | 4-5 | |||
| GDP in the economy | From NIS | 660 | 1,166 | 1,224 | 1,269 | 1,330 | 1,406 |
The challenges of the industry
Despite continued growth, the industry faces a number of significant challenges:
- Increasing competition: With new players entering the market, competition between businesses is intensifying, which sometimes leads to lower prices.
- Technological changes: Technological developments affect the way businesses operate, and they are required to adopt new technologies to remain competitive.
- Changes in consumer preferences: Consumers are changing rapidly, and they are looking for new products and services, which requires businesses to adapt.
- Regulation: New laws and regulations can affect how businesses operate, sometimes making it difficult for them to operate profitably.
Opportunities for growth
Despite the challenges, there are also many opportunities for growth in the industry:
- Expanding into new markets: Businesses can look for opportunities in international markets or niche markets.
- Personalized services: Offering personalized services can lead to increased sales and improved customer experience.
- Collaborations: Collaborations with other businesses can lead to competitive advantages.
- Innovation: Investing in innovation can lead to the development of new products and services that will attract customers.
summary
The industry offers many opportunities, but also difficult challenges. Businesses that know how to adapt to changes and take advantage of opportunities will be able to succeed and grow in the competitive market.
To succeed, businesses must be flexible, embrace new technologies, and stay connected with customers. It is also important to ensure the quality of service and products, as satisfied customers are the key to success.
Additionally, you should pay attention to market trends and try to anticipate changes that could impact the industry. For example, with the rise in health awareness, food businesses can offer healthier products.
In conclusion, the industry offers great potential for growth, but one must prepare for the challenges and changes occurring in the market.
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