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For retail CEOs, a strong focus on working capital, cost-base issues and supply chain risks is imperative in the near term, but over the longer haul they must ensure that they also address systemic risks such as shrinking natural resources and the talent pool.
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Leveraging existing market assets
Sixty-three percent of CEOs believe that their best opportunities for generating growth lie in achieving better penetration of their existing markets. Only 17 percent plan to move into new territories.
In-depth CEO story
 Robert Willett
CEO, Best Buy International and Enterprise CIO, US
M&A activity slowing
The economic downturn is also having a considerable impact on deal-making. Only 6 percent of retail CEOs see M&As offering much potential for growth at present, and only 14% are planning to complete a cross-border transaction within the next 12 months.
A supply chain is only as strong as its weakest link
The ability to measure and manage supply chain risks is essential to any retail operation, especially one that is highly globalised. Retail CEOs place more weight on efficient sourcing and supply chain management than their peers in other industries. Many rate information about their supply chain as critical or important, yet 76 percent of them are not satisfied with the information they receive about their supply chains: 63 percent would like to know more, and 13 percent admit that the information they are getting is inadequate.
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Responding to sustainability concerns with new products and services
More than half of retail CEOs are changing the nature of the products they offer to meet the growing consumer demand for goods that are manufactured in an ethical and environmentally sustainable manner. Seventy-two percent report that they are already making a return on investment or anticipate doing so within the next 12 months.
Increase headcount
Many cross-industry CEOs concede that staffing factors are taking a back seat this year as they struggle to keep their companies afloat. On the flip side, retail CEOs anticipate increasing headcount over the next 12 months. The sector may need to refocus attention on people issues.
Related research from PricewaterhouseCoopers
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