Taking the Pulse of the Middle Market
Mid-market perspectives blog: Growth enterprise services
Posted June 19, 2014
The following blog posting by Roger Nanney, the new national managing partner for Deloitte Growth Enterprise Services, Deloitte LLP, highlights some of the key findings of our latest
survey-based report: Mid-Market Perspectives: 2014 report on America's economic engine.
Many of the mid-market executives I work with can readily identify with the challenges identified in our latest report — an economy that has been slow to recover and a continued high level of uncertainty — but just like our survey respondents, they also understand the need to keep their companies moving forward.
We've been surveying U.S. mid-market executives about their business prospects and plans for four years now and their responses have provided a good deal of insight about this important market segment. There's evidence of momentum building again, based on the respondents' plans to add jobs, move ahead with capital projects and invest in technology, among other things.
How do your company's plans compare to those of other mid-market companies? Consider some of the key survey findings included in our 2014 report on America's economic engine:
- Only 23 percent said their company is deferring major investments due to uncertainty in the business environment, down from 43 percent a year ago.
- Over the past 12 months, 37 percent said their company increased its full-time headcount; 43 percent expect their company to boost employment over the next 12 months.
- Midsized companies reported exploring acquisitions as a way to expand and diversify their
customer base. Fifteen percent called it "very likely" that their company would make an acquisition in the coming year and another 17 percent said it was "quite likely."
- Nearly two-thirds of the companies surveyed generate some revenue from international
markets and they see markets such as China, India, South America and Latin America contributing more in the next year.
- More than one-third of the respondents said one of their company's top investment priorities over the coming year will be to upgrade existing IT systems or implement new systems.
Taken together, the survey results show increased momentum and encouraging prospects for mid-market companies. I invite you to read our 2014 report on America's economic engine and consider how your company's strategic plans align with those of your mid-market peers and welcome your feedback.