Deloitte Mid-Market Survey Shows Companies are Poised for Growth
Mid-market perspectives blog: Growth enterprise services
Posted by Tom McGee on April 25, 2013
This week we released a report based on our third annual survey of 525 executives of mid-market and privately held companies. Mid-market perspectives: 2013 report on America’s economic engine provides insights into what executives are thinking and how that might impact what their companies do in the near future.
The good news? The majority of survey respondents report their companies are financially healthy; they have boosted productivity, and taken steps to increase their competitiveness. Forty-six percent project revenue growth over the next 12 months.
Despite those positive indicators, executives’ level of concern about obstacles to U.S. growth is higher than what we found in our past two annual surveys. In 2012, the European debt crisis and weak housing market were at the top of the list; this year, the biggest concerns are all government-related: budget challenges (69%), rising health care costs (60%), and high tax rates (53%).
A significant number of executives surveyed indicated that the uncertain business environment was causing them to delay investments, yet the survey responses showed that companies are nevertheless making strategic decisions that will affect the economy in important ways: where to allocate resources and invest for the future. They indicate more interest in opportunistic acquisitions and strategic partnerships, plan to spend more to train employees, and to grow organically in existing markets.
This year’s results highlight a potential economic inflection point, with most mid-market executives more confident about their business prospects and taking the necessary steps to prepare for growth. In order for the economy to regain its momentum and allow businesses to fully prosper, the survey respondents want government to make meaningful progress on the issues that are creating uncertainty and hindering economic growth.
I invite you to read our 2013 report on America’s economic engine and consider how your company’s strategic plans align with other mid-market companies that are poised for growth.