2012 edelman trust barometer asia pacific

1 © Edelman, 2012. All rights reserved.

2012EDELMAN TRUST BAROMETERAPAC RESULTS


2012 Edelman Trust Barometer – Asia Pacific FindingsMETHODOLOGY OVERVIEW

Twelfth annual study

Online survey in 25 countries30,000+ respondents

1,000 general population respondents per countryAges 18+

Oversample of informed publics*500 respondents in U.S. and China & 200 in all other countries

Ages 25-64 (Trending data among Ages 35-64)

College-educated

In top 25% of household income per age group in each country

Report significant media consumption and engagement in business news and public policy

* This year Informed Publics were surveyed via online methodology instead of telephone** New country included in this year’s study

GENERAL PUBLIC

INFORMEDPUBLIC25-64

INFORMEDPUBLIC35-64

Asia Pacific (APAC) select countries: India, China, Japan, South Korea, Indonesia, Singapore, Australia, Hong Kong** and Malaysia**

Indicates Global Data

APAC Indicates Asia Pacific Region Data

http://www.earthshope.org/Home_files/earth%20transparent.png


Edelman Trust Barometer in retrospect

Rising Influence of NGOs2001

Fall of the celebrity CEO2002

Earned media more credible than advertising2003

U.S. companies in Europe suffer trust discount2004

Trust shifts from “authorities” to peers2005

“A person like me” emerges as credible spokesperson2006

Business more trusted than government and media2007

Young influencers have more trust in business2008

Business must partner with government to regain trust2009

Trust is now an essential line of business2010

Rise of authority figures2011


TRUSTERS

NEUTRAL

DISTRUSTERS

GLOBAL 51China 76UAE 68Singapore 67India 65Indonesia 63Mexico 63Netherlands 61Canada 58Italy 56Argentina 54Australia 53Brazil 51Sweden 49U.S. 49South Korea 44Poland 44U.K. 41Ireland 41France 40Germany 39Spain 37Japan 34Russia 32

GLOBAL 55Brazil 80UAE 78Indonesia 74China 73Netherlands 73Mexico 69Singapore 67Argentina 62India 56Italy 56Canada 55South Korea 53Sweden 52Japan 51Australia 51Spain 51France 50Poland 49Germany 44U.S. 42U.K. 40Russia 40Ireland 39

20122011>

>

>

<

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Composite score is an average of a country’s trust in all four institutions. Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and across 23 countries

<

Nearly twice as many countries are now skeptics, including South Korea & Japan; Though four Asia Pacific markets considered “Trusters” in 2012


Energy

Media

Financial services

Banks

75%

54%

55%

71%

29%

33%

38%

51% -20

-21

-46

-17

TRUST IN INDUSTRIES

CREDIBLE SPOKESPEOPLE

8%14%

16%18%22%24%

32%

42%

63%

40%

59%

48%

39%

67%70%

65%

-23-38

-43

-17

-30-26

-55-43

Technical Expert

Academic or Expert

CEO A Person Like

Yourself

NGO Represent.

Regular Employee

Financial/ Industry Analyst

Government Official

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust); Q16-26. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust); Q119-126. [TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible); Q149-160. [TRACKING] Below is a list of places where you might get information about a company. For each, please indicate if you trust it a great deal, somewhat, not too much, or not at all as a source of information about a company. (Top Box - % Trust A Great Deal) Informed Publics ages 25-64 in Japan

- 12 - 21 - 26

TRUST IN INSTITUTIONS INFORMED PUBLICS – AGES 25-64

Business Media NGOs Government

53% 47% 48% 36% 51% 30% 51% 25%

TRUST IN INFORMATION SOURCES

-16

Newspaper

-26

TV

-13

Radio

-13

Magazines

2011 Informed Public


The Fragility of Trust: Focus on Japan


TRUST IN INDUSTRIES

CREDIBLE SPOKESPEOPLE

16%

28%29%

43%43%47%

54%

63%

50%

59%63%

71%68%

76%

59%

81% -18-29

-25-28

-31

-34-34

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust); Q16-26. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust); Q119-126. [TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible); Q149-160. [TRACKING] Below is a list of places where you might get information about a company. For each, please indicate if you trust it a great deal, somewhat, not too much, or not at all as a source of information about a company. (Top Box - % Trust A Great Deal) Informed Publics ages 25-64 in South Korea

- 17

TRUST IN INSTITUTIONS INFORMED PUBLICS – AGES 25-64

Business Media NGOs Government

46% 31% 53% 45% 62% 67% 50% 33%

TRUST IN INFORMATION SOURCES



The Fragility of Trust: Focus on South Korea

- 15 Consumer packaged goods

Telecommunications

Financial services

Banks

56%

71%

64%

64%

35%

39%

39%

40%

-21

-32

-25

-24

Technical Expert

Academic or Expert CEO

A Person Like

Yourself

NGO Represent.

Regular Employee

Financial/ Industry Analyst

Government Official

-11

Newspaper

-8Social

Networking sites

-9

Corporate Communications

-8

Corporate Advertising


49% 52%46%

56%53%

47%

TRUST IN INSTITUTIONS

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) AND General Population in 25 country global total

Globally, trust in three of four institutions declines; only media rises

Business

Media

2011 Informed Public2012 Informed Public2012 General Public

58%

50%

NGOs

61%

52%

43%38%

Government



TRUST IN INSTITUTIONS – ASIA PACIFIC REGION (EXCLUDES HONG KONG & MALAYSIA)

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population AND Informed Publics ages 25-64 in the Asia Pacific Region (excludes Hong Kong and Malaysia)

In Asia Pacific, government the only institution to suffer decreased trust

NGOs

Business

Media

Government

2011 Informed Public2012 Informed Public2012 General Public

0.44

0.54

0.640000000000001

APAC

0.51

0.620000000000001

0.610000000000001

0.53

0.6300000000000010.61000000

0000001

0.52

0.6400000000000010.62000000

0000001


2007 2008 2009 2010 2011 201220%

30%

40%

50%

60%

70%

80%

52% 53% 54%57%

59%

54%

44%48% 46%

45% 46%

47%52%

51%49%

53%53%

47%

40%43% 44%

46% 49%

38%

NGOs

Media

Business

Government

BUSINESS

GOVERNMENT

TRUST IN INSTITUTIONS – 18-COUNTRY GLOBAL TOTAL

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 35-64 in 18 country global total (excludes Argentina, Australia, Hong Kong, Indonesia, Malaysia, Singapore and UAE)

Globally, NGOs and business fall to 2009 trust level – government record decline



TRUST IN INSTITUTIONS – ASIA PACIFIC REGION (EXCLUDES HONG KONG & MALAYSIA)

Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in the Asia Pacific region (excludes Hong Kong and Malaysia)

Asia Pacific trust in government declines significantly since 2011

NGOs Business Media Government

62% 61% 61%64%64% 62% 63%

54%

2011 2012

- 10

APAC


Several mature economies see double-digit drops in business trust; Trust in business increases in China and decreases in South KoreaTRUST IN BUSINESS

Q11-14. [Business in General TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and across 25 countries

N/A N/A

TrustTrust Trust Steady

50%

2011 Informed Public2012 Informed Public

GlobalChina

Canad

aU.S.

Australi

a

Poland

Sweden

Russia

India

Singa

poreIta

ly

Indonesia

Irelan

d

Mexic

oU.K.

Argentina

Japan

Netherla

ndsUAE

South

Korea

German

yBra

zil

Fran

ceSp

ain

Mala

ysia

Hong Kong

56%

61%

50%

46%

54%

44%

52%

41%

70%67%

64%

80%

46%

81%

44%

63%

53%

74%78%

46%

52%

81%

48%

53%53%

71%

56%

50%

57%

46%

54%

41%

69%66%

62%

78%

43%

77%

38%

57%

47%

65% 67%

31%34%

63%

28%32%

65%

47%



45%

47%

51%

53%

56%

59%

60%

62%

64%

66%

79%Technology

Automotive

Food and beverage

Consumer packaged goods

Telecommunications

Brewing and spirits

Pharmaceuticals

Energy

Media

Banks

Financial services48%

50%

52%

57%

57%

60%

61%

64%

67%

67%

80%

2011

Q16-26. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and Asia Pacific Region & Informed Publics ages 35-64 in 18 country global total

TRUST IN INDUSTRIES – GLOBAL AND ASIA PACIFIC REGION

Technology

Telecommunications

Automotive

Food and beverage

Pharmaceuticals

Energy


Brewing and spirits

Media

Banks

Financial services

2012

Asia Pacific more trusting of nearly all industries than their global peers; Banks are third most trusted in APAC, but second from bottom globally

2012APAC

85%*

76%*

67%*

66%*

69%*

57%

67%*

65%*

62%*

70%*

63%*

#1

#2

#3

*Significant difference at the 95% confidence level vs. 2012 global

2009: 58%

2008 Trust in Banks: 56% 2012 Trust in Banks: 40% -16




Brewing and spirits

Financial services

Media

Energy


Food and beverage

Pharmaceuticals

Banks

Telecommunications

Automotive

Technology

59%

62%

63%

65%

66%

66%

66%

68%

68%

77%

85%

Brewing and spirits


Media

Financial services

Food and beverage

Energy

Pharmaceuticals

Banks

Automotive

Telecommunications

Technology

54%

59%

64%

66%

66%

68%

72%

75%

77%

78%

87%

20122011

Q16-26. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed publics ages 25-64 in Asia Pacific (excludes Hong Kong and Malaysia)

TRUST IN INDUSTRIES – ASIA PACIFIC REGION (EXCLUDES HONG KONG & MALAYSIA)

Top four most trusted industries consistent from 2011 to 2012, while brewing and spirits remain least trusted

APAC


Q16-26. [TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed publics ages 25-64 in China, India, Japan and South Korea

CHINA

Technology

Media

Automotive

Banks

Telecommunications


Energy

Financial services

Brewing and spirits

Pharmaceuticals

Food and beverage

91%

82%

81%

78%

78%

76%

76%

76%

70%

65%

59%

2012 TRUST IN INDUSTRIES

Technology the most trusted industry across key Asia Pacific markets, while trust in banks and financial services varies

Technology

Banks

Automotive

Telecommunications

Energy


Pharmaceuticals

Food and beverage

Media

Financial services

Brewing and spirits

92%

90%

88%

80%

78%

76%

75%

73%

70%

68%

58%

INDIA

Technology

Automotive

Food and beverage

Pharmaceuticals

Brewing and spirits

Telecommunications


Banks

Financial services

Media

Energy

74%

74%

62%

61%

60%

58%

56%

51%

38%

33%

29%

JAPANTechnology

Energy

Brewing and spirits

Media

Financial services

Consumer packaged

goods

78%

66%

59%

45%

44%

44%

42%

40%

39%

39%

35%

SOUTH KOREA


2007 2008 2009 2010 2011 20120%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

68%69%

36%29%

24%

35%

39% 41%

27%22%

29%

21%

75%72%

84% 85%88%

82%77%

83%

81%83%

87%

90%

64%67%

51%

76%

55%

38%

58% 59%52%

51%

68%

49%

US

UK/France/Germany

China

India

S. Korea

Japan

Q16-26. [Banks TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed publics ages 35-64 in the U.S., UK/France/Germany, China, India, Japan and South Korea

TRUST IN BANKS

Dramatic fall for banks in Japan and S. Korea; now at low levels seen in West


2007 2008 2009 2010 2011 20120%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

75%

80%

73%78%

74%

81%

66% 67% 66%

76%

79%

67%

78%

90%

83%

95%93%

87%

91% 93%

88%93%

93%

76% 76%

78%

89%

83%

78%78%77%

86%

80%

73%

U.S.

UK/France/Germany

China

India

S. Korea

Japan

Q16-26. [Technology TRACKING] Please indicate how much you trust businesses in each of the following industries to do what is right. Again, please use the same 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed publics ages 35-64 in the U.S., UK/France/Germany, China, India, Japan and South Korea

TRUST IN TECHNOLOGY

Trust in technology remains high in all markets


Global

Irelan

dIndia

Canad

aU.S.

German

y

Sweden

Singa

pore U.K.

Australi

a

Mexico

UAERussi

aChina

Poland

Italy

Netherla

nds

South

Korea

France

Argentina

IndonesiaSp

ainJap

anBraz

il

Hong Kong

Malaysi

a

52%

20%

44%

52%

40%

33%

64%

77%

43%

52%

42%

88%

39%

88%

42%45%

75%

50% 49%

54%

62%

43%

51%

85%

43%

35%

53%56%

43%

33%

62%

73%

38%

47%

35%

78%

26%

75%

28%31%

61%

33%31%

36%

40%

20%

25%

32%

62%

49%50%

TRUST IN GOVERNMENT

Q11-14. [Government in General TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and across 25 countries


TrustTrust Steady

N/A N/A

Trust

Majority of countries now distrust government; trust declines significantly in China, South Korea, Indonesia and Japan



50%

TRUST IN MEDIA

Q11-14. [Media in General TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and across 25 countries


TrustTrust Steady Trust

N/A N/A

Media only institution to see trust rise, driven in part by increases in India and Australia

GlobalIndia U.S. U.K.

Italy

Australi

a

Canad

a

Singa

pore

German

y

Sweden

Spain

China

Mexico

Irelan

dRussi

a

France

Poland

Indonesia

Netherla

nds

South

Korea

Argentina

UAEBraz

ilJap

an

Hong Kong

Malaysi

a

49% 50%

27%

22%

45%

32%

45%

59%

37% 37%

46%

80%

67%

38% 37%

45%

53%

86%

69%

53%

60%

72% 73%

48%52%

70%

45%

37%

57%

43%

54%

65%

42%38%

46%

79%

65%

35%33%

41%

48%

80%

61%

45%

49%

61% 61%

36%

65%

47%



Once (1), 2%Twice (2), 12%

Three times (3), 36%

Four or Five times (4-5), 28%

Six to Nine times (6-9), 7%

Ten or more times (10+), 14%

Three to Five times

64%

Q148. [TRACKING] Think about everything you see or hear every day about companies, whether it is positive or negative. How many times in general do you need to be exposed to something about a specific company to believe that the information is likely to be true? Please enter the number of times below. (Excludes ‘Don’t Know’ responses) Informed publics ages 25-64 in Asia Pacific Region

ASIA PACIFIC REGION

Skepticism requires repetitionMAJORITY NEEDS TO HEAR INFO 3-5 TIMES TO BELIEVE

APAC


33%

22%

9%

18%

32%

28%

17% 18%



ONLINE MULTIPLE SOURCESTRADITIONAL SOCIAL MEDIA CORPORATE

27%+89%+

Q149-160. [TRACKING] Below is a list of places where you might get information about a company. For each, please indicate if you trust it a great deal, somewhat, not too much, or not at all as a source of information about a company. (Top Box - % Trust A Great Deal) Informed Publics ages 25-64 in Asia Pacific Region (excludes Hong Kong and Malaysia)

Diversification of MediaTRUST IN INFORMATION SOURCES – ASIA PACIFIC REGION (EXCLUDES HONG KONG & MALAYSIA)

APAC


Traditional Online Multiple Sources

Social Media Corporate

45%

10%2% 5%

33%29%

21% 18%

Q149-160. [TRACKING] Below is a list of places where you might get information about a company. For each, please indicate if you trust it a great deal, somewhat, not too much, or not at all as a source of information about a company. (Top Box - % Trust A Great Deal) Informed Publics ages 25-64 in China, India, Japan, and South Korea

Japanese trust drops across all information sources, while trust in social media increases in China and India

Corporate

TRUST IN INFORMATION SOURCES (TRUST A GREAT DEAL)

+ 13

- 12+ 19 + 19



43% 43%

19%

37%46% 45%

29% 31%



33%

19%10%

22%16%

11%2%

7%



22% 19%14% 17%19% 16%

11% 8%

+ 10

- 17- 8 - 15- 8 - 9


CHINA INDIA

JAPAN SOUTH KOREA


50%

TRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)

Q11-14. [Non-governmental organizations (NGOs) TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and across 25 countries


TrustTrust Steady Trust

N/A N/A

NGOs still most trusted institution, despite some drops; China was the only country where trust increased

GlobalChina

India

South

Korea

Argentina

Italy

U.K.U.S.

France

Australi

a

Singa

pore

Irelan

d

Poland

Canad

aUAE

Mexico

German

ySp

ain

Sweden

Indonesia

Netherla

ndsRussi

aJap

anBraz

il

Hong Kong

Malaysi

a

61%63%

61% 62%

70% 70%

51%55%

58%

65% 64%

53%56%

72% 72%

85%

55%

60%

53%

66%

72%

42%

51%

80%

58%

79%

67% 67%

75% 74%

54%58%

60%

65%64%

53% 55%

66% 66%

78%

48%51%

41%

53%

59%

28%30%

49%

70%68%



2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 201230%

40%

50%

60%

70%

80%

36%

54%

48% 48%

0.310000000000001

0.79

0.52

0.68

U.S.

UK/France/Germany

China

India

Q11-14. [Non-governmental organizations TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 35-64 in U.S., UK/France/Germany, India and China

Trust in NGOs surges over time in China and IndiaTRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)


Q11-14. [Non-governmental organizations TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 35-64 in the U.S., UK/France/Germany, China, India, South Korea, and Japan.

TRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)

Trust in NGOs surges over time in China, India and South Korea; Steep trust decrease in Japan since 2011

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 201220%

30%

40%

50%

60%

70%

80%

36%

54%

48% 48%

0.31

0.79

0.52

0.68

0.39

0.720000000000001

0.42

0.28

U.S.UK/France/GermanyChinaIndiaSouth KoreaJapan


2005 2006 2007 2008 2009 2010 2011 201220%

30%

40%

50%

60%

70%

80%

39%

72%

42%

28%

South Korea

Japan

Q11-14. [Non-governmental organizations TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 35-64 in South Korea and Japan

Trust in NGOs surges over time in South Korea, but drops significantly in Japan from 2011 to 2012TRUST IN NON-GOVERNMENTAL ORGANIZATIONS (NGOS)


Business and government trust tends to move in sync since 2007 in India, Japan and South Korea; In China, trust nearly converges this year

2007 2008 2009 2010 2011 20120%

20%

40%

60%

80%

100%

67%

74%65% 67%

70%

69%

41%49%

43% 43%45%

52%

India

2005 2006 2007 2008 2009 2010 2011 20120%

20%

40%

60%

80%

100%

43%

66%

52%

61% 63%

54%57%

47%

31%

41%

53%

45% 45% 43%

53%

28%

Japan

2006 2007 2008 2009 2010 2011 20120%

20%

40%

60%

80%

100%

46% 46% 43% 45%48%

43%

31%29% 26%

40%38%

47%43% 34%

South Korea

2004 2005 2006 2007 2008 2009 2010 2011 20120%

20%

40%

60%

80%

100%

50%

35%

56%

67%

54%

71%66%

38%

66%

67%63%

83%78% 79% 80%

77% 72% 75%

China

Q11-14. [Business in General and Government in general TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) Informed Publics ages 35-64 in Japan, India, South Korea and China

TRUST IN BUSINESS AND GOVERNMENTBusiness

Government


Asia Pacific more likely than global peers to view CEOs and government officials as credible spokespeople

Government official or regulator

CEO

Financial or industry analyst

NGO representative

Regular employee

A person like yourself

Technical expert in the company

Academic or expert

29%

38%

46%

50%

50%

65%

66%

68%

Regular employee



NGO representative

CEO



Academic or expert

34%

43%

43%

47%

50%

53%

64%

70%

CREDIBLE SPOKESPEOPLE – GLOBAL AND ASIA PACIFIC REGION

20122011

Q119-126. [TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in 20 country global total (excludes Argentina, Hong Kong, Malaysia, Singapore and UAE) and Asia Pacific Region

63%*

65%

60%*

41%*

49%

46%

46%*

33%*

2012APAC

#2

#1

#3

*Significant difference at the 95% confidence level vs. 2012 global





Regular employee


CEO

NGO representative


Academic or expert


31%

41%

44%

46%

47%

60%

61%

64%

Regular employee


NGO representative



CEO


Academic or expert

33%

37%

43%

47%

51%

58%

61%

68%

20122011

Q119-126. [TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in Asia Pacific Region (excludes Hong Kong and Malaysia)

+ 23

- 12

+ 8

- 16

Credibility of “person like me” surges over the past year in Asia Pacific; Government official falls to the bottom in 2012

- 7

- 7

+ 4

CREDIBLE SPOKESPEOPLE – ASIA PACIFIC REGION (EXCLUDES HONG KONG & MALYASIA)

APAC


Q119-126. [TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 25-64 in China, India, Japan, and South Korea

CHINA



NGO representative

Academic or expert

CEO

Regular employee



71%

67%

61%

60%

53%

50%

40%

37%

2012 CREDIBLE SPOKESPEOPLE

Spokesperson credibility varies by country; “Person like me” among the most credible spokespeople in China and South Korea

Academic or expert



CEO


Regular employee

NGO representative


80%

74%

69%

68%

68%

59%

50%

44%

INDIA


Academic or expert

CEO


NGO representative

Regular employee



42%

32%

24%

22%

18%

16%

14%

8%

JAPAN



Academic or expert


NGO representative

CEO

Regular employee


63%

54%

47%

43%

43%

29%

28%

16%

SOUTH KOREA


CEO credibility returns to low of 2009 in South Korea and drops even further in Japan

2007 2008 2009 2010 2011 20120%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

22%

23%

17%

26%

34% 27%

18%

23%17%

26%

35%

21%

34%

44%

44%

51%46%

45%

60%

66%60%

59%

83%

63%

37%41%

33%

53% 56%

28%37%

32%

46%

49%

68%

22%

U.S.

UK/France/Germany

China

India

South Korea

Japan

Q119-126. [A CEO of a company TRACKING] Below is a list of people. In general, when forming an opinion of a company, if you heard information about a company from each person, how credible would the information be--extremely credible, very credible, somewhat credible, or not credible at all? (Top 2 Box, Credible: Very + Extremely Credible) Informed Publics ages 35-64 in the U.S., UK/France/Germany, China, India, Japan and South Korea

CEO CREDIBILITY


50%

Q126A. [SPLIT SAMPLE] How much do you trust business leaders to tell you the truth, regardless of how complex or unpopular it is? (% who say they do not trust them at all) General Population in 25 country global total and across 25 countries; Q126B. [SPLIT SAMPLE] How much do you trust government leaders to tell you the truth, regardless of how complex or unpopular it is? (% who say they do not trust them at all) General Population in 25 country global total and across 25 countries

% WHO DO NOT TRUST THEM AT ALL TO TELL THE TRUTH

Business LeadersGovernment Leaders

GlobalIta

lySp

ain

Irelan

dU.K.

France

German

y

Australi

aU.S.

Russia

Mexico

Poland

Canad

a

Netherla

nds

S. Kore

aBraz

ilIndia

Argentina

Sweden

IndonesiaJap

an

Hong Kong

China

Malaysi

aUAE

Singa

pore

27%

51%

44%

48%

42%

50%

36%

40% 38%

23%

13%

34% 36% 34%

21%

10% 10%

14%

26%

5%

11%

28%

24%

9%

14%17%

46%

73%69% 69%

66% 66% 65%

60%

53%51% 50%

47% 46% 46% 46%43% 43%

41% 40%

36%34%

30% 29%

24%

17%15%

Asia Pacific markets are more likely than other regions to trust both business and government leaders to tell the truth


PARTNERS WITH NGOS, GOVERNMENT AND THIRD PARTIES TO ADDRESS SOCIETAL ISSUES

RANKS ON A GLOBAL LIST OF TOP COMPANIES, SUCH AS 'BEST COMPANIES TO WORK FOR' OR 'MOST ADMIRED COMPANIES'

DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS

HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP

IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS

CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY IN WHICH THE COMPANY OPERATES

ADDRESSES SOCIETY'S NEEDS IN ITS EVERYDAY BUSINESS

WORKS TO PROTECT AND IMPROVE THE ENVIRONMENT

COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS BUSINESS

HAS TRANSPARENT AND OPEN BUSINESS PRACTICES

HAS ETHICAL BUSINESS PRACTICES

TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR A CRISIS

PLACES CUSTOMERS AHEAD OF PROFITS

TREATS EMPLOYEES WELL

OFFERS HIGH QUALITY PRODUCTS OR SERVICES

LISTENS TO CUSTOMER NEEDS AND FEEDBACK

19%

31%

23%

29%

41%

26%

30%

29%

26%

27%

32%

28%

26%

27%

48%

36%

36%

38%

39%

41%

46%

49%

50%

55%

57%

60%

61%

62%

62%

64%

67%

67%

Q52-69. How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Very/ Extremely Important) General Population in 25 country global total (excludes ‘Don’t Know’ responses);Q103-118. Please rate [INSERT COMPANY] on how well you think they are performing on each of the following attributes. Use a nine-point scale where one means they are performing “extremely poorly” and nine means they are performing “extremely well”. (Top 2 Box, Performing Very/ Extremely Well) General Population in 25 country global total

Closing the gap on expectations

Business ImportanceCompany Performance

Globally, business not meeting public’s expectations

-31

-19

-37

-36

-34

-29

-33

-31

-26

-20

-23

-5

-12

-16

-17

-7

GLOBAL



PARTNERS WITH NGOS, GOVERNMENT AND THIRD PARTIES TO ADDRESS SOCIETAL ISSUES

RANKS ON A GLOBAL LIST OF TOP COMPANIES, SUCH AS 'BEST COMPANIES TO WORK FOR' OR 'MOST ADMIRED COMPANIES'

HAS HIGHLY-REGARDED AND WIDELY ADMIRED TOP LEADERSHIP

DELIVERS CONSISTENT FINANCIAL RETURNS TO INVESTORS

IS AN INNOVATOR OF NEW PRODUCTS, SERVICES OR IDEAS

CREATES PROGRAMS THAT POSITIVELY IMPACT THE LOCAL COMMUNITY IN WHICH THE COMPANY OPERATES

ADDRESSES SOCIETY'S NEEDS IN ITS EVERYDAY BUSINESS


COMMUNICATES FREQUENTLY AND HONESTLY ON THE STATE OF ITS BUSINESS

PLACES CUSTOMERS AHEAD OF PROFITS

HAS TRANSPARENT AND OPEN BUSINESS PRACTICES

HAS ETHICAL BUSINESS PRACTICES

TREATS EMPLOYEES WELL

TAKES RESPONSIBLE ACTIONS TO ADDRESS AN ISSUE OR A CRISIS

OFFERS HIGH QUALITY PRODUCTS OR SERVICES

LISTENS TO CUSTOMER NEEDS AND FEEDBACK

20%

31%

26%

24%

36%

26%

30%

28%

27%

26%

27%

33%

27%

28%

43%

35%

36%

38%

40%

42%

43%

47%

49%

52%

56%

58%

59%

59%

59%

61%

63%

63%-28

-20

-33

-32

-26

-32

-32

-29

-24

-19

-21

-7

-18

-14

-7

-16

Business also not meeting public’s expectations in Asia PacificGap

Q52-69. How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Very/ Extremely Important) General Population in the Asia Pacific Region (excludes ‘Don’t Know’ responses);Q103-118. Please rate [INSERT COMPANY] on how well you think they are performing on each of the following attributes. Use a nine-point scale where one means they are performing “extremely poorly” and nine means they are performing “extremely well”. (Top 2 Box, Performing Very/ Extremely Well) General Population in the Asia Pacific Region

Closing the gap on expectations

Business ImportanceCompany Performance

ASIA PACIFIC REGION

APAC


PARTNERS WITH BUSINESS NGOS, AND THIRD PARTIES TO ADDRESS SOCIETAL ISSUES

CREATES INNOVATIVE PROGRAMS THAT POSITIVELY IMPACT LOCAL COMMUNITIES

PROVIDES NATIONAL TRAINING PROGRAMS TO CREATE EMPLOYMENT OPPORTUNITIES


COMMUNICATES FREQUENTLY AND HONESTLY

EFFECTIVELY MANAGES THE FINANCIAL AFFAIRS OF THE COUNTRY

HAS TRANSPARENT AND OPEN PRACTICES

LISTENS TO CITIZENS' NEEDS AND FEEDBACK

14%

16%

18%

18%

16%

19%

16%

17%

41%

52%

54%

56%

65%

65%

66%

67%

Q132-139. How important is each of the following actions to building your trust in government? Please use a nine-point scale where one means that action is 'not at all important to building your trust' and nine means it is 'extremely important to building your trust'. (Top 2 Box , Very/Extremely Important) General Population in 25 country global total; Q140-147. Please rate your government on how well you think they are performing on each of the following attributes using a nine-point scale where one means they are performing "extremely poorly" and nine means they are performing "extremely well". (Top 2 Box , Performing Very/Extremely Well) General Population in 25 country global total

Government ImportanceGovernment Performance

-50

-50

-46

-49

-38

-36

-36

-27

Government not meeting public’s expectations GLOBAL



ASIA PACIFIC REGION

Q132-139. How important is each of the following actions to building your trust in government? Please use a nine-point scale where one means that action is 'not at all important to building your trust' and nine means it is 'extremely important to building your trust'. (Top 2 Box , Very/Extremely Important) General Population in Asia Pacific Region; Q140-147. Please rate your government on how well you think they are performing on each of the following attributes using a nine-point scale where one means they are performing "extremely poorly" and nine means they are performing "extremely well". (Top 2 Box , Performing Very/Extremely Well) General Population in Asia Pacific Region

-45

-46

-44

-37

-36

-31

-33

-25

Gap

LISTENS TO CITIZENS' NEEDS AND FEEDBACK

HAS TRANSPARENT AND OPEN PRACTICES

COMMUNICATES FREQUENTLY AND HONESTLY

EFFECTIVELY MANAGES THE FINANCIAL AFFAIRS OF THE COUNTRY


PROVIDES NATIONAL TRAINING PROGRAMS TO CREATE EMPLOYMENT OPPORTUNITIES

CREATES INNOVATIVE PROGRAMS THAT POSITIVELY IMPACT LOCAL COMMUNITIES

PARTNERS WITH BUSINESS NGOS, AND THIRD PARTIES TO ADDRESS SOCIETAL ISSUES

64%

64%

62%

59%

56%

51%

51%

41%

19%

18%

18%

22%

20%

20%

18%

16%

And government not meeting public’s expectations in Asia Pacific

Government ImportanceGovernment Performance

APAC


50%

GlobalChina

Spain

Mexico

Irelan

d

Hong Kong

Brazil

France

Russia

Malaysi

aIta

lyU.K.

Argentina

Canad

aIndia

Indonesia

S. Kore

aU.S.

Australi

a

German

y

Sweden

Netherla

nds

Poland

UAEJap

an

Singa

pore

49%

77%

70%68%

64%61%

58%

54% 54% 54% 53%51% 50%

48% 48% 46% 45%

40% 40%38%

36% 35% 34%

30% 30%

25%

Q130. When it comes to government regulation of business, do you think that your government regulates business too much, not enough or the right amount? (% who selected ‘not enough’) Informed Publics ages 25-64 in 25 country global total and across 25 countries

% WHO BELIEVE GOVERNMENT DOES NOT REGULATE BUSINESS ENOUGH

Despite lack of trust in government, calls for increased regulations—especially in China, Hong Kong and Malaysia


Q127. Which of the following items do you think makes people in a company most likely to engage in risky and irresponsible behavior that could damage a company? Q131. Which of the following is the most important role that government should play in business? Informed Publics ages 25-64 in 25 country global total and Asia Pacific region

REGULATE BUSINESS ACTIVITIES to ensure companies are behaving responsibly25%

Work to ENSURE FREE MARKET ACCESS AND OPEN COMPETITION within industries16%

GIVE OR LOAN MONEY TO BUSINESS when it experiences financial crisis4%

BUILD INFRASTRUCTURE that promotes and facilitates business opportunities19%

Government SHOULD NOT PLAY A ROLE in business4%

PROTECT CONSUMERS from irresponsible business practices31% 30%

25%

20%

18%

4%

2%

GLOBAL APAC

THINKS THE MOST IMPORTANT ROLE THAT GOVERNMENT SHOULD PLAY IN BUSINESS IS:

Calls for greater protection and responsible behavior

Business can address on its own

Perceived drivers of irresponsible behavior: • Poor management (Global - 29%, APAC – 27%)• Unethical business practices (Global - 28%, APAC - 31%)• Shortcuts that lead to poor quality (Global - 21%, APAC -23%)



THE DYNAMIC OF TRUST BETWEEN

BUSINESS & GOVERNMENT

2008-2009

BUSINESS CAN EARN LICENSE TO LEAD

Low trust in business and CEOs

Business leaders more trusted than

government leadersbusiness has advantage in 24 out of 25 markets

Dwindling trust in government

policy paralysis

Call for increased regulationprotection from irresponsible behavior sought

2011

Business has flexibility and speed

Government responds


Q11-14. [TRACKING] Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population in 25 country global total; Q52-69. How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Very/ Extremely Important) General Population in 25 country global total (excludes ‘Don’t Know’ responses) * ‘Current Trust’ results based on regression analysis of general population in 25 country global total

1) Delivers consistent financial returns

2) Innovator of new products

3) Highly regarded, top leadership

3) Ranks on a global list

5) Partners with third parties

CURRENT TRUST BUILDING FUTURE TRUST

1) Listens to customer needs and feedback

1) High quality products or services

4) Places customers ahead of profits

4) Takes actions to address issue or crisis

3) Treats employees well

9) Works to protect/ improve environment

6) Has ethical business practices

7) Has transparent and open business


8) Communicates frequently and honestly

10) Addresses society's needs

11) Positively impacts the local community





Societal

Operational

47% TRUST BUSINESS

Business: from license to operate to license to leadGLOBAL

SOCIETAL ATTRIBUTES MORE IMPORTANT TO BUILDING FUTURE TRUST

CURRENT TRUSTDRIVEN BY OPERATIONAL ATTRIBUTES



Business: from license to operate to license to leadASIA PACIFIC REGION

Q11-14. [TRACKING] [Below is a list of institutions. For each one, please indicate how much you trust that institution to do what is right using a 9-point scale where one means that you “do not trust them at all” and nine means that you “trust them a great deal”. (Top 4 Box, Trust) General Population in the Asia Pacific Region; Q52-69. How important is each of the following actions to building your TRUST in a company? Use a nine-point scale where one means that action is “not at all important to building your trust” and nine means it is “extremely important to building your trust” in a company. (Top 2 Box, Very/ Extremely Important) General Population in the Asia Pacific Region (excludes ‘Don’t Know’ responses) * ‘Current Trust’ results based on regression analysis of the general population

51% TRUST BUSINESS






1) High quality products or services

1) Listens to customer needs and feedback

3) Takes actions to address issue or crisis

4) Treats employees well

4) Has ethical business practices

4) Has transparent and open business

7) Places customers ahead of profits

8) Communicates frequently and honestly

9) Works to protect/improve environment

10) Addresses society's needs

11) Positively impacts the local community






CURRENT TRUST BUILDING FUTURE TRUST

Societal

Operational

APAC

SOCIETAL ATTRIBUTES MORE IMPORTANT TO BUILDING FUTURE TRUST

CURRENT TRUSTDRIVEN BY OPERATIONAL ATTRIBUTES


Exercise principles-based leadership, not rules based performance

Recognize that operational factors responsible for current trust won’t build future trust, societal and engagement behaviors will

Practice radical transparency: speak first to employees; report on goals

Shape the public discourse on issues of importance to business

Earn License to Lead