It is said that competition gives birth to quality products and rightly said this has not only given birth to quality products but also have brought many innovative heavy equipment into existence. Heavy equipment industry at one point in time was manufacturing products lacking innovation but after the influx of foreign companies in the US market, things have drastically changed and many US heavy equipment companies have started taking things seriously. They got to know that if they want to survive then they have to manufacture machines that meets the overall wants and needs of the end user. This has also given rise to employing competent engineers and designers who take the lead work to manufacture machines that are different from their competitors. All this has resulted in giving a new shape to the heavy equipment industry that no one has ever witnessed before.
However the real challenge that the US heavy equipment manufacturing companies are experiencing is continue what they have now made a legacy. Giving the best to the end user is part of a very difficult job and companies often find themselves in a tough spot when it comes to deliver the best. On top of that, when you have similar companies who have come from foreign land and delivering better than you, it gets tougher to keep up to the mark or raise your level. Rise in competition may be good for the end user but it becomes problematic for the homemade companies. Other than that, there are few small companies who may not stand in front of those giant players and may be eaten up by the big fishes. So if there is someone who wants to establish his company, he will have a hard time setting his foot firmly on the ground. He may be simply washed away even if he produces better equipment than the big players.
Companies like CAT, John Deere etc. may be able to sustain the competition as they have been in this business since a long time and have also seen many ups and downs. So they have the experience to counter any threats or challenges but when it comes to companies who are newly formed, they may lack the expertise and the experience to tackle a tough competitor. They may always find themselves getting inside the mouth of a bigger fish. So the competition which had brought several changes in the heavy equipment industry is also creating a negative stir in it.
As a matter of fact, everything has its pros and cons and perhaps the cons of the influx of foreign heavy equipment makers is that the small companies who aspire to become big may get completely washed away. They either have to join any of the big companies forgetting their dream of establishing a company of their own or just leave this industry and try something else in life. This is a ruthless fact of competition that many have to gulp in even if they do not want to.