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Global Business Outlook survey - March 2010
The Global Business Outlook survey measures business optimism around key business indicators such as revenues, profits, activity and employment. The March 2010 edition provides evidence of robust economic recovery now taking hold across virtually all key markets.
The survey, compiled by research firm Markit on behalf of KPMG International, works on a net balance basis, with the percentage of respondents feeling more pessimistic about their company’s outlook in 12 months’ time deducted from the percentage feeling more optimistic about the future.
The net balance for global business activity in manufacturing stands at +50.9 (up from +42.9) while the equivalent figure in the services sector stands at +44 (down slightly from +46.5 last time but still strongly optimistic). This suggests a firm majority believe their businesses will be getting busier in the coming 12 months.
The outlook for improved business revenues is similarly healthy with a net balance of +42.5 in manufacturing (up from +37.4) and +37.9 in services (flattening out a touch from +40.7 last time). Optimism around profits is also holding up robustly at +35.3 in manufacturing (up from +32.1) and at +35.5 in services (from +36.2 last time).
Digging deeper into most of the key indicators, the percentage of respondents who predict no change in the coming year – and who thus have no impact on the net balance1 – tends to stand around 20-25 percent in manufacturing and around 30 percent in services. Of those who have a firm view one way or the other, optimists now tend to outnumber the pessimists by as much as four or five to one.
The net balance for global business activity in manufacturing stands at +50.9 (up from +42.9) while the equivalent figure in the services sector stands at +44 (down slightly from +46.5 last time but still strongly optimistic). This suggests a firm majority believe their businesses will be getting busier in the coming 12 months.
The outlook for improved business revenues is similarly healthy with a net balance of +42.5 in manufacturing (up from +37.4) and +37.9 in services (flattening out a touch from +40.7 last time). Optimism around profits is also holding up robustly at +35.3 in manufacturing (up from +32.1) and at +35.5 in services (from +36.2 last time).
Digging deeper into most of the key indicators, the percentage of respondents who predict no change in the coming year – and who thus have no impact on the net balance1 – tends to stand around 20-25 percent in manufacturing and around 30 percent in services. Of those who have a firm view one way or the other, optimists now tend to outnumber the pessimists by as much as four or five to one.
