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Service & Trade

A

ccording to the Central Bureau of

Statistics, Gross Domestic Product

(GDP), in fixed prices, rose by 2.5%

in 2015 after rising 2.6% in 2014 and 3.3% in

2013 (GDP is equal to the net value of overall

goods and services produced in Israel). Exports

of goods and services, in fixed prices, fell 3.1%

in 2015, after rising 1.5% in 2014 and remain-

ing stable in 2013. Imports of goods and ser-

vices, in fixed prices, rose 0.6% in 2015, after

rising 3% in 2014 and rising 0.5% in 2013.

At the end of 2015, the Dun & Bradtsreet Index

for assessing the financial strength of the Is-

raeli economy, stood at 31.95 compared with

32.01 at the end of 2014. The fall in the Index

reflected a slowdown in private consumption

that mainly influenced the retail sector, and a

continued weakening in the industrial sector,

mainly due to a slowdown in world trade and

the low value of the Euro compared with the

shekel. At the midpoint of 2016, the Index

stood at 31.70, with the downward trend con-

tinuing following erosion in margins in most

branches of the economy and following a fall

in the value of Israeli exports.

Dun & Bradstreet data finds that in 2015 (simi-

lar to 2014), the field with the highest level of

risk was the cafés and restaurants sector, and

the field with the lowest level of risk was the

pharmaceuticals sector. The café and restau-

rant sector is characterized by a high risk level

and since 2013 has been coping with an ad-

ditional risk factor – price strategy. Until 2013,

the level of risk stemmed from surplus supply,

but price strategy began being expressed by

the establishment of the Cofix chain, and the

consequent lowering of sales prices among

some of the large chains.

In 2015, the average number of days of credit

rose by about 2.5% to 119 days (compared

with 116 in 2014). The average credit terms

under agreement was lengthened to 92 days

(compared with 84 in 2014) while the average

days in arrears actually shortened to 27 days

(compared with 32 in 2014).

As each year, Israel's leading service and

trade companies were ranked. At the top

of the trade company rankings was Paz, in

second place was Shufersal and in the third

place was Eurocom Communications. At the

top of the service company rankings was Zim,

in second place was Bezeq and in third place

was El Al.

Among the sub-categories in the trade com-

pany rankings, the largest percentage of

companies was in the food and beverage re-

tail sub-category (13%) followed by 10% of

companies in the electrical products import

and marketing sub-category. Among the sub-

categories in the service company rankings,

the largest percentage of companies was in

the travel and tourism agencies sub-category

(13%), followed by 12% of companies in the

transport and shipping services sector, and

11% of companies ranked in the security,

guarding and cleaning sub-category.

14

13%

12

10%

10

8% 8% 8%

8

6% 6%

7% 7% 7%

6

5%

4

2% 2% 2% 2%

3% 3% 3%

2

1%

0

General trade

Retail Chains

Impt. / Dist. of Comm.

Equip.

Furniture & Home

Appliances

Natural Gas Companies

Cosmetics & Toiletries

Fast food chains and

restaurants

Electronic Components

Wholesale Distribution of

Med. Equip. & Medicines

Wholesale Consumer

Products

Petroleum & Infrastructure

Companies

Fashion & Footwear

Car Agency and Import

Import, Di and ma of

computer equipment

Construction Input, Metal,

Plumbing $ Wood

Food Retail

Import companies

Electronic Appliance Import

and Marketing Agencies

Wholesale Food

Distribution and Drinks

Trade Ranking 2016 by Sector

14

12%

13%

12

11%

10

9%

8

6% 6% 6%

7%

6

4% 4% 4%

5% 5% 5%

4

2% 2% 2%

2

0

Medical Services

Export Companies

Lotteries

Transportation

Infrastructure

Logistics Services

Communication Groups

General Services

Credit Cards

Integration

Waste Treatment,

Removal & Recycling

Media

Human Resources

Companies

Catering

Software Services

Security, Guarding and

Cleaning

Transportation Services

Travel & Tourism Agents

Service Ranking 2016 by Sector

83

2016

|

DUN’S

100

DUN’S

100

|

2016

DUN’S

100

|

2016

2016

|

DUN’S

100

Service & Trade