WHY CEOS HAVE AN OPTIMISTIC3 YEAR OUTLOOK

Despite soaring competitive pressures

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Prospects for global growth are strong

ASPAC and European CEOs are more confident in the global economy and the growth outlook of their businesses than last year

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46 percent of US CEOs expressed the same level of confidence about their prospects for growth as last year

And with the US recovery well underway they are

pursuing aggressive growth, acquisitions and geographic

expansion outside of US

Prospects for global growth are strong

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THERE’S A FEELING OF CONFIDENCE IN THE AIR

Expect headcount to increase

78%

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Indicate positive growth prospects for the global economy

THERE’S A FEELING OF CONFIDENCE IN THE AIR

62%

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Believe in their companies' ability to grow

THERE’S A FEELING OF CONFIDENCE IN THE AIR

54%

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Yet despite this largely positive global outlook

CEOs are also grappling with escalating competitive pressure

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Concerns about

decreasing customer loyalty

86%

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new entrants disrupting their business model

74%

Concerns about

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keeping pace with new technologies

72%

Concerns about

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their competitors’ ability to take away business from

their organization

68%

Concerns about

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relevance of their products and services

3 yearsfrom now

66%

Concerns about

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Say their business needs to improve the way it manages D&A

49%

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Say their business needs to do more to prepare for

a cyber security event

50%

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Say their organization is likely to be transformed into a significantly

different entity in 3 years

29%

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However, most do not have a fully developed or implemented

process for innovation

56%

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Are not taking a risk with their global growth strategy

30%

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IN SUMMARY

Sunny skies ahead for CEOs who recognize that potential disruptors are a source of opportunity for the future

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Findings based on a study of more than 1,200 CEOs, representing a

majority of global businesses worth up to US$10bn and reflecting a 3 year outlook

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