Inflation and ongoing market volatility remain the primary concerns of business leaders of mid-sized corporates and organizations surveyed by Citi Commercial Bank (CCB) in its first ‘Global Industry Insights Report’.
Of approximately 500 survey respondents, globally, a majority ranked inflation and market volatility as the two primary factors challenging the wellbeing of their business followed by the regulatory environment and trade.
The recent global business survey offers insights into the prevailing challenges and opportunities facing companies today. At the forefront of concerns is inflation, which emerged as the most ominous factor threatening businesses.
A 72% of respondents identified cost management as their primary obstacle to success, reflecting the pervasive pressure inflation exerts on operations and profitability. This unambiguous sentiment suggests that despite other evolving challenges, cost control remains a critical focal point for businesses in today’s volatile economic landscape.
While inflation worries loom large, the survey shows a relatively optimistic view on supply chain issues, a pain point that has plagued industries in recent years. A surprising 52% of respondents believe that the situation has improved over the last 12 months, with only 13% stating it has worsened.
Additionally, 36% report no change, painting a picture of either actual improvements in supply chain management or a more accustomed adaptation to existing challenges. This optimism may pave the way for companies to focus on other key areas, such as sustainability and international expansion.
Speaking of sustainability, the report shows that companies are taking strides in their commitments to becoming carbon neutral by 2050. With 55% of respondents affirming they are on track, led notably by healthcare companies, the move towards sustainability appears to be gaining momentum.
However, it’s worth noting that only 37% consider net-zero and ESG factors as a primary focus, signaling room for greater emphasis on these crucial issues.
Moreover, international expansion remains a tantalizing prospect for over half of the respondents, with Asia-Pacific markets being particularly attractive. Yet, despite these future-oriented plans, 27% express dissatisfaction with their financial goals for 2023, indicating that while there may be optimism for long-term growth and responsibility, short-term financial objectives remain a point of contention.
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