For World's top bosses, recession and inflation are the biggest worries this year
The two issues top the list of external factors impacting businesses — for the second year in a row — according to the survey published by the Conference Board on Wednesday.
- Jan 10, 2024,
- Updated Jan 10, 2024 10:34 PM IST
The globe's corner office sees recession and inflation as the top concerns for its business this year, as per a survey from The Conference Board, a US-based think tank.
The two issues top the list of external factors impacting businesses — for the second year in a row — according to the survey published on Wednesday.
Global political instability and higher interest rates are also expected to affect business.
“Less than 30% of CEOs globally, a smaller share than in the US, believe their organizations are prepared to deal with either a recession or inflation,” according to the paper. “In Europe, double-digit inflation linked to record-high energy costs has dented business CEO confidence.”
Confidence among bosses in Europe has fallen to its lowest level since the measure was introduced at the beginning of 2020, and is worse than at the start of the pandemic.
Amid elevated inflation and a potential downturn, CEOs’ plans to grow profits in 2024 include introducing new products/services, investing in technology, increasing sales via marketing, and entering new markets.
C-Suite Outlook 2024 also reveals that CEOs have thrown up their hands when it comes to getting workers back into the office full time. Just 4% of US CEOs say they will prioritize a full-time return to the office. Consistent with past surveys, attracting and retaining talent remains the number-one internal focus for CEOs globally.
RECESSION US CEOs: They rank recession as the #1 external concern for 2024. Global CEOs: Recession is also the #1 external concern among executives globally.
Despite cooling in 2023, inflation remains high on the worry list.
INFLATION US CEOs: They rank inflation as the #2 external concern for 2024. Global CEOs: Inflation is also the #2 external concern among executives globally.
Most CEOs say their companies aren’t prepared to navigate a recession or inflation crisis.
US CEOs: Just 37% say they are prepared to deal with a recession; 34% are prepared for high inflation. Global CEOs: Worldwide, just 27% say they are prepared for a recession; 27% say the same for inflation.
GEOPOLITICS
CEOs worldwide are preoccupied by wars and escalating global tensions.
Global CEOs: Topping their list of geopolitical threats for 2024 is higher energy prices. Other high-priority risks include the potential for an increase in cyberattacks (#2), war in the Middle East (#3), and war in Ukraine (#4). US CEOs: Beyond the national debt and deficits (#1), American CEOs’ top geopolitical concerns are cyberattacks (#2), war in the Middle East (#3), higher energy prices (#4), and war in Ukraine (#5).
RETURN TO OFFICE & HUMAN CAPITAL
RIP: The battle over returning to the office.
US CEOs: Just 4% of US CEOs say they will prioritize bringing workers back to the office full time. Global CEOs: Similarly, 4% of CEOs worldwide will prioritize a full-time return to the office.
ARTIFICIAL INTELLIGENCE
CEOs strongly embrace AI—and fear falling behind more than the technology’s dangers.
CEOs see big ROI in AI: US CEOs: 92% believe AI will increase productivity; 86% expect it to improve marketing capabilities; 63% anticipate a boost to sales, revenue, and profits. Global CEOs: Worldwide, 91% believe AI will increase productivity; 79% expect it to improve marketing capabilities; 68% anticipate a boost to sales, revenue, and profits.
The globe's corner office sees recession and inflation as the top concerns for its business this year, as per a survey from The Conference Board, a US-based think tank.
The two issues top the list of external factors impacting businesses — for the second year in a row — according to the survey published on Wednesday.
Global political instability and higher interest rates are also expected to affect business.
“Less than 30% of CEOs globally, a smaller share than in the US, believe their organizations are prepared to deal with either a recession or inflation,” according to the paper. “In Europe, double-digit inflation linked to record-high energy costs has dented business CEO confidence.”
Confidence among bosses in Europe has fallen to its lowest level since the measure was introduced at the beginning of 2020, and is worse than at the start of the pandemic.
Amid elevated inflation and a potential downturn, CEOs’ plans to grow profits in 2024 include introducing new products/services, investing in technology, increasing sales via marketing, and entering new markets.
C-Suite Outlook 2024 also reveals that CEOs have thrown up their hands when it comes to getting workers back into the office full time. Just 4% of US CEOs say they will prioritize a full-time return to the office. Consistent with past surveys, attracting and retaining talent remains the number-one internal focus for CEOs globally.
RECESSION US CEOs: They rank recession as the #1 external concern for 2024. Global CEOs: Recession is also the #1 external concern among executives globally.
Despite cooling in 2023, inflation remains high on the worry list.
INFLATION US CEOs: They rank inflation as the #2 external concern for 2024. Global CEOs: Inflation is also the #2 external concern among executives globally.
Most CEOs say their companies aren’t prepared to navigate a recession or inflation crisis.
US CEOs: Just 37% say they are prepared to deal with a recession; 34% are prepared for high inflation. Global CEOs: Worldwide, just 27% say they are prepared for a recession; 27% say the same for inflation.
GEOPOLITICS
CEOs worldwide are preoccupied by wars and escalating global tensions.
Global CEOs: Topping their list of geopolitical threats for 2024 is higher energy prices. Other high-priority risks include the potential for an increase in cyberattacks (#2), war in the Middle East (#3), and war in Ukraine (#4). US CEOs: Beyond the national debt and deficits (#1), American CEOs’ top geopolitical concerns are cyberattacks (#2), war in the Middle East (#3), higher energy prices (#4), and war in Ukraine (#5).
RETURN TO OFFICE & HUMAN CAPITAL
RIP: The battle over returning to the office.
US CEOs: Just 4% of US CEOs say they will prioritize bringing workers back to the office full time. Global CEOs: Similarly, 4% of CEOs worldwide will prioritize a full-time return to the office.
ARTIFICIAL INTELLIGENCE
CEOs strongly embrace AI—and fear falling behind more than the technology’s dangers.
CEOs see big ROI in AI: US CEOs: 92% believe AI will increase productivity; 86% expect it to improve marketing capabilities; 63% anticipate a boost to sales, revenue, and profits. Global CEOs: Worldwide, 91% believe AI will increase productivity; 79% expect it to improve marketing capabilities; 68% anticipate a boost to sales, revenue, and profits.