2017 4th Quarter International Trade Council Global Business Confidence Survey

GLOBAL BUSINESS CONFIDENCE REPORT
4 th Qtr. 2017
72.59% of respondents considered that more public awareness of their industry was pertinent to future growth.
Unsurprisingly those in the leather (100%), tobacco (100%), textiles (91.67%), entertainment (90.48%) and media
(88.24%) industries were most concerned. Respondents located in the United Kingdom, United Arab Emirates and
Romania were least concerned.
Employee skill development is an important focus for 72.48% of respondents. Only respondents involved in the
real-estate segment reported a less than 50% level of importance (45.83%). 38.10% of Singaporean firms rated this
area to be an essential component for their future growth.
Developing more partnerships is of importance to 70.22% of respondents with every industry expressing a 50%
concern or greater.
67.13% of respondents place importance on increasing their digital and technological capabilities. Respondents
from Malaysia (81.81%), India (80.88%), Pakistan (79.54%), China (77.77%) and Jordan (76,12%) reported the
greatest level of concern.
Navigating risk and regulation is a driver for future organizational growth for 64.61% of respondents.
Respondents who were most apprehensive were those from India (83.82%), China (77.77%) and Malaysia (75.75%).
Respondents located in the United States of America and United Kingdom expressed least concern.
Improving trust and transparency is a priority for 59.74% of respondents. Those located in Pakistan (84.08%),
Jordan (82.09%), Singapore (80.92%), India (79.41%) and China (77.77%) reported above-average levels of concern.
54.77% of respondents stated that quality certification would have a medium, medium-high or high level of
importance. Respondents from China (88.88%), Malaysia (81.81%), Pakistan (79.54%), Singapore (76.19%) and
Nepal (71.05%) were the most concerned.
Respondents place far less focus on the automation of existing processes compared to innovation, with only
53.58% considering this to be an important factor for future growth. Respondents contradicting the norm were
those from Pakistan (75%), Singapore (71.43%), India (70.95%), Jordan (70.15%) and Malaysia (66.66%).
52.17% of respondents considered that improving supply chain relationships is an important driver for future
growth, while only 45.53% of respondents considered accessing new sources of funding to be important.
Government Impact on Business
Government mandated rules and frameworks have an obvious impact on business, particularly in the areas of
taxation, subsidies, interest rates, exchange rates and public-private partnerships. Taxation policies affect business
costs while economic policies and government borrowing will affect interest rates.
Organizations need to continuously respond to changes in legal framework and the majority of respondents claim
to do so rather successfully, yet poor decision making by government officials can still have a significant impact on
the viability of a particular business or industry. Aside from increases in corporate tax rates, the biggest concern
for respondents has not been the introduction of new laws but rather that these may be drafted without proper
consultation with those affected or without allowing sufficient time for organizations to adapt to the changes.
Uncertainty over future legislation also causes hesitation in terms of future investment, re-investment and job
creation.
Where tax is concerned, the majority of respondents complained of increasingly convoluted tax laws rather than
the actual amount of tax taken. Many respondents stated that the complexity of tax laws directly increases their
compliance costs which, in turn, has the potential to impede business operations.
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