Recently, the concerns and insights of Chief Executive Officers (CEOs) of Pakistani companies were revealed in PwC’s 27th Annual Global CEO Survey.
This survey provides valuable insights into the challenges and opportunities faced by CEOs and their perspectives on the future of their businesses.
Challenges to Economic Viability
The survey uncovered a significant concern among Pakistani CEOs regarding the economic viability of their companies in the future. Around 42 percent of CEOs in Pakistan expressed apprehension that their companies would not remain economically viable if the existing business model continued for another decade.
Increasing Competitive Intensity
CEOs also anticipate an increase in competitive intensity within their industries. A substantial 63 percent of CEOs expect heightened competition, driven by factors such as new entrants, innovative products, or pricing strategies, within the next three years.
Government Regulation as a Key Enabler
The survey emphasizes the importance of a conducive regulatory environment provided by the government. Without such an environment, sustained growth may be elusive, even if businesses leverage new technologies, develop innovative products and services, and adopt novel pricing models.
In Pakistan, 77 percent of CEOs consider government regulations as a pivotal factor in shaping how their companies create, deliver, and capture value.
Optimism in Revenue Growth
Despite the concerns and challenges, there is an overall sense of optimism among CEOs. The survey indicates that 95 percent of CEOs in Pakistan are confident about the revenue growth of their companies in the next twelve months.
While this confidence slightly declines to 92 percent when looking at a three-year time frame, it still reflects a positive outlook.
Embracing Generative AI and Climate Action
CEOs in Pakistan are forward-thinking, with 68 percent believing that generative Artificial Intelligence (AI) will significantly transform their companies in the next three years. Furthermore, 93 percent of CEOs consider improving energy efficiency as the most crucial climate action.
Early Stages of Climate Initiatives
While climate action is on the agenda for many CEOs, businesses are still in the early stages of implementation.
Achieving energy efficiency is a top priority, with 93 percent of CEOs indicating that their actions in this regard are either completed, in progress or being planned.
The insights from PwC’s CEO survey shed light on the challenges and opportunities facing Pakistani businesses. CEOs recognize the need for adaptation and innovation, with concerns about economic viability and increasing competition.
Government regulations, the adoption of generative AI, and climate action are key areas of focus as businesses chart their course for the future.