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Introduction This report from the Center for Competitive Analysis (CCA) of the University of Missouri is intended to provide basic background information about the Boat Building and Repairing (BBR) industry (SIC code 3732, essentially the same as NAICS code 336612, but the latter does not include boat repairing). Nationally, average 1998 weekly earnings for workers in this industry were $465.79, or in the middle third of all SIC fourdigit industries ranked by weekly earnings. This industry has thirty-seven firms in Missouri, employing slightly over two thousand persons. These raw numbers understate the importance of this industry for Missouri, for three reasons. First, much of the activity in Missouri BBR takes place in the Lebanon-Springfield corridor; this industry is clearly important for that region of the state. Second, we suspect that a large number of Missouri-made boats are sold outside the state, which could mean that the quality of output of this industry may very well influence the reputation of Missouri manufacturers in general. Finally, the largest Missouri BBR firm, Tracker Marine of Springfield, is affiliated with the Bass Pro Shops enterprise, which is a well-known national brand. Based on early 1999 national rankings, Missouri is a relatively important player in the BBR industry. It is ranked 16 nationally in total sales (1.91% of the national total), 10 in employees (3.4%), and 22 in number of businesses (1.2%). Its national ranking is 5 in employees per business (with 57.6 employees per business), 9 in sales per business (with $3.19 million per business), and 30 in sales per employee (with $68,017 per employee). In the sections that follow, characteristics of the national BBR industry will be summarized. The primary sources of data are articles in trade publications, proprietary business databases, and U.S. government statistics. We first examine recent sales trends and customer characteristics. An analysis of the extent and types of competition in the industry is presented, followed by an examination of the impact of technology on manufacturing processes and product characteristics. We conclude the report with a discussion of the challenges facing the BBR industry and a discussion of the issues warranting further research. While this initial report focuses primarily on the national picture for the industry, its main purpose is to identify issues that will be examined in the context of the Missouri BBR industry.