Demand Dynamics of Light Engineering Sector of Bangladesh and Recommendations for Local Enterprises

Abstract

Light engineering is a sector which makes small and medium machineries and spare parts. Spare part business is one of the main lines of business of Bangladesh’s light engineering sector. In Bangladesh workers of light engineering sector are highly efficient with their craft. Yet, local market is dominated by imported spare parts. Demand side analysis is needed to find out why such is the case. This paper measures perceptions and attitude of buyers towards local spare parts. In product attributes, it is found that local spare parts are not very far behind in comparison with imported parts. While that is the case, further in the paper causes of dominance of imported parts were discovered and recommendation made for dominance of local makers in the local market