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Changing Markets: Component Sense’s Advice for Navigating the Coming Market Downturn

Over the last two years, the electronics industry has been in a volatile state of high demand and low supply. The international market has not seen such intense and prolonged growth since the ‘Dot Com Bubble’ of the late 1990s. Customers and manufacturers are scrambling to keep up with increasing demand and raised prices. Whilst some industry players are celebrating the increased financial successes of such a ripe marketplace, OEMs and EMSs are in a predicament. For them, a market turn is welcome, as an ongoing lack of stock creates production difficulties, and by extension, limits potential income. However, not everyone in the electronics industry would welcome a dramatic slowing of the market. We spoke to the executive team here at Component Sense to gauge their opinions on the current market situation. Kenny McGee (CEO), Rose McGee (Head of Sales), and Grant Rutherford (CTO) are all experts in the field of electronics and the global supply chain. So, when do they think that the market will turn? And how can you prepare for it?

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Global Market Trends #4: Component Sense's Advice to Customers

As we approach the halfway point of 2022, this year is proving to be full of unpredictability, market turbulence, and industry uncertainty. From extended Covid-19 lockdowns in China to the conflict in Ukraine, the global market has faced a range of issues. Over the course of our Global Market Trends editorial series, Component Sense has examined the root causes of these supply chain difficulties, outlined the international industry response, and in our penultimate blog post, we discussed predictions for the future of the electronics industry. In this fourth and final instalment, Component Sense is getting more personal and offering our exclusive, expert-driven advice to customers and industry partners. All authorities agree that the market must inevitably crash: after all, the current high inflation rates, seemingly endless demand, and ever-increasing prices cannot last forever. So, how can Component Sense help you to navigate the choppy waters of the inevitable market downturn?

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Global Market Trends #3: Industry Forecasts and Predictions

At Component Sense, we value the importance of following global market trends and presenting up-to-date analyses to our customers. Parts One and Two of our Global Market Trends editorial series have investigated the reasons for current market trends, and detailed responses from our global industrial partners. In this third instalment, we are focusing on the most frequent forecasts and predictions for the future of supply chain management. Global industry leaders and analysts maintain that we are living in a period of “calm before the storm” — so what future is on the horizon for the international supply chain?

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Global Market Trends #2: International Industry Response

In our previous blog post, we outlined the reasons for the current market trends affecting our industry partners and customers. From chip shortages to congested shipping routes, the global supply chain is continuing to face extensive difficulties. So, we know why these trends are happening. But how is the international industry responding?

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