Since the market for high end gear is world wide, and not just limited to a certain demographic and location, that would seem to be what has been holding up the industry.
However, ARC has some serious competition due to this world wide market, more so than ever before in the past. When ARC was in their heyday ( which IMO was in the mid 80's to the late 90's), they had the US market far more to themselves than today, and they had a decent exposure in Europe as well. This situation applies to many other well known high end US audio companies today, which makes me question who is going down next, unfortunately. It would seem that many of these US companies have been heavily relying on the far east market, question is for how long can that continue?