Executive Observations
The second quarter of 2010 was marked by supply chain shortages among various components of the electrical and electronics manufacturing markets. This was caused by a sluggish response by OEMs to steadily growing demand, as book-to-bill ratios and other leading indicators showed a firmly increasing trend throughout the quarter. The recovery in electronics markets became increasingly evident, and industry players began to adjust to a more stable outlook. Overall, this spawned increased interest in sourcing projects in these categories, despite the supply challenges in certain components and subassemblies. Sourcing activity last quarter was also facilitated by a significant price drop in most raw materials that impact the electronics industry.
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