Business in the SouthwestOptimistic for 2010

Businesses Optimistic for 2010

Around 75 Beacon businesses responded to a questionnaire aimed to test their levels of businesses optimism for 2010.

Backup Direct is an active member of Beacon Southwest - a group of leading businesses headquartered in the South and West of England (sponsored by the SWRDA).

The sentiments of this group of companies are perhaps interesting in that Beacon companies comprise the best of the best. And as such, whatever this group feels and experiences talks to the future possibilities of business in Britain.

A summary of the findings

80% were positive about current business performance; 3% were neutral; 17% felt negative.

83% were positive about 2010 business performance; 14% were neutral; 4% felt negative.

A breakdown of 2010

Improving service, quality and delivery - 42%

Innovation within products/ services - 39%

Growing market share - 34%

Looking for new avenues to market - 31%

Growing the business overseas - 23%

Cutting overheads and reviewing efficiencies - 20%

Building alliances/partnerships with other businesses - 18%

Invest in skills - 15%

Refocus core business - 12%

Diversifying the business - 9%

Renegotiating with suppliers - 9%

Growing the business outside of the region - 8%

Becoming more competitive on price - 7%

Invest in infrastructure/ capital equipment - 5%

Acquisitions or mergers - 5%

Concentrate on ‘cash' and rely less on banks - 4%

Convince clients that higher quality reduces total costs - 3%

Sectors Responding

Summary of sentiments

• Approximately 1/3 state profits are up on last quarter (2009) - consistent with Sept ‘09.
• Data suggests a rise in agreement with positive statements from Sept ’09 to Jan ’10.
• Data suggest a growth in those claiming their businesses are performing well as a result of their hard work.

• Half of businesses are cautiously optimistic whilst 1/3 claim to be fairly/very ‘bullish’ about the future.

• The general trend shows less emphasis on ‘cost cutting strategies’ such as reducing overheads, renegotiating with suppliers, etc.
• Business are looking to survive and compete through approaches such innovation and improving services.