Software - Bhutan

Bhutan

In Bhutan, the revenue in the Software market is expected to reach US$9.84m in 2024.
The market is dominated by Enterprise Software , which is projected to have a market volume of US$4.15m in the same year.
Looking ahead, the revenue is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 8.81%, resulting in a market volume of US$15.01m by 2029.
When compared globally, it is worth noting that United States is expected to generate the highest revenue of US$363.40bn in 2024.
Bhutan is experiencing a surge in demand for software solutions to support its growing tourism industry.

Key regions: United States, Canada, Germany, China, Japan

Definition:

In general, software is defined as a set of instructions written as programming code to execute specific tasks on a computing device. The Software market covers a wide range of software products and solutions that are publicly sold by various companies. Most software solutions in this market are designed for professional use, but some can also be suitable for personal use. They can also range from basic productivity tools such as word processors and spreadsheets to complex software solutions such as project management tools, graphic design software, and enterprise resource planning software.

Products in the Software market can be obtained in two ways: as on-premises software that is sold via a transactional license or a subscription and as cloud-based software (software as a service/ SaaS) that is most frequently sold as a subscription.

Structure:

The market contains four markets that are based on the functionality of the software:

Productivity Software refers to application software that supports activities such as producing documents, spreadsheets, drawings, and presentations. This market includes Administrative Software, Collaboration Software, Office Software, Creative Software, and Construction and Design Software.
Enterprise Software refers to all software that supports essential large-scale business activities such as enterprise resource management, customer management, and supply chain activities. This market includes Enterprise Resource Planning Software, Customer Relationship Management Software, Business Intelligence Software, Supply Chain Management Software, Content Management Software, and Other Enterprise Software.
Application Development Software refers to software and tools that help the overall application development process.
System Infrastructure Software refers to software that provides the base framework for operating and managing organizational processes and services on hardware devices.

Additional Information:

The Software market comprises revenue and revenue change as the key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in this market include Microsoft, Adobe, SAP, Oracle, and Salesforce.

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Market

Region

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Currency

Analyst Opinion

Bhutan, a landlocked country nestled in the Himalayas, is known for its stunning landscapes, rich culture, and commitment to preserving its natural environment. Over the past few years, the country has also been making strides in the software market, with a growing number of companies and startups emerging in the industry.

Customer preferences: In Bhutan, there is a growing demand for software solutions that can help businesses streamline their operations and improve their efficiency. This includes software for accounting, inventory management, and customer relationship management. Additionally, there is a growing interest in software solutions that can help businesses connect with customers online, such as e-commerce platforms and social media management tools.

Trends in the market: One of the key trends in the software market in Bhutan is the emergence of startups focused on developing software solutions for the tourism industry. With tourism being a major contributor to the country's economy, these startups are leveraging technology to help businesses in the industry improve their operations and attract more visitors. Another trend is the increasing demand for cloud-based software solutions, which offer greater flexibility and scalability compared to traditional on-premise solutions.

Local special circumstances: One of the unique challenges facing the software market in Bhutan is the country's limited IT infrastructure. While the government has made efforts to improve internet connectivity and access to technology, there is still a long way to go in terms of building a robust IT ecosystem. This can make it difficult for software companies to operate and scale their businesses.

Underlying macroeconomic factors: Bhutan's economy is heavily reliant on the hydropower sector, which accounts for a significant portion of the country's exports. However, the government has been making efforts to diversify the economy and promote entrepreneurship and innovation. This has created opportunities for startups and software companies to emerge and contribute to the country's economic growth. Additionally, Bhutan's commitment to preserving its natural environment has made it an attractive destination for socially responsible businesses, including those in the software industry.

Methodology

Data coverage:

The data encompasses B2B, B2G, and B2C enterprises, except for the Enterprise Software segment, in which consumer (B2C) spending is not considered. Figures are based on the allocation to the country where the money was spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and reports from our primary research. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, level of digitization, GDP sector composition, and observed level of software piracy. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. The main drivers are the GDP and the level of digitization.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.