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Busing Industry Analysis

operations, building on their core competencies. Prior to the Blue Bird acquisition, Henlys Group used the cooperative strategy of equity strategic alliance to expand its bus and coach operations outside of its boarders. With this one acquisition, the Henlys Group has achieved economy of scale and now controls 47% of the school bus market in North America. Henlys equity alliance partner profile includes; Prevost car Inc. and Nova bus a partnership with Volvo, that hold a 25% market share in the U.S. and Canadas coach market and is the market leader in bus shells for motor homes supplying 80% of the market. Another alliance is with the Mayflower Corporation in the TransBus International Ltd., which is the forth-largest bus and coach manufacturer in Europe. As a result of the acquisition and equity alliances, the Henlys Group saw its operating profits sore 119% in 2000. Blue Bird is now the Groups core activity and presently accounts for 81% of the operating profits and sales;Group Sales; Profit analysis Blue Bird SalesBlue Bird; 59% 81% School Bus 83%Prevost & Nova; 23% 13% Commercial Bus 10%Plaxton UK; 18% 6% Coach & motor home 7%Through Blue Bird, Prevost car and Nova bus, Henlys Group has the widest product coverage in the North America bus and coach market. Another Bus Company called Collins Industrial Corp. is a leading manufacture of ambulances, small school buses, commercial buses, and terminal trucks, which are used in the movement of trailers at large warehouses. Collins Ind. is known for their innovative ideas in the configuration and set-up of their ambulances and the sitting configuration of their small school bus products. Collins Ind. has used the acquisition strategy to enter new markets and to overcome entry barriers. The use of acquisition has also given Collins Ind. Economy of scale within the ambula...

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