What's on the minds of Hungarian CEOs for the year ahead?
6th PwC’s Hungarian CEO Survey
Hungarian CEOs are confident about their company’s growth prospects over the next 12 months, but are less optimistic about Hungarian and global economic growth. Looking at target markets, the US and China have grown in importance, while Germany remains the country CEOs view as the most important. CEOs identified innovation and human capital as the two areas they most want to strengthen in order to capitalise on new opportunities. They are concerned that key skills shortages, which have become more acute in recent years, could impair their outlook. In fact, 92% of CEOs say this is the single biggest obstacle to their company’s growth.
Growth
Hungarian CEOs are just as confident about their company’s growth prospects as global CEOs. However, their optimism about global and Hungarian economic growth seems to have stalled.
Threats
Skills shortages, which are at an all-time high, are the single most important barrier to growth, and affect practically every business in Hungary. Over-regulation also continues to be a top concern for both Hungarian and global CEOs.
Talent
The majority of the companies surveyed plan to increase headcount over the next 12 months, both globally and in Hungary. In Hungary, within particular industries, technology and telecom companies and privately owned businesses have the most ambitious plans to increase their staff numbers. Globally, only 16% of CEOs plan to cut their company’s headcount over the next 12 months; in Hungary, 13% expect to do so.
Man and machine
Hungarian CEOs display a high degree of digital literacy and adoption: they typically consume digital media more than print media, and they have strong digital skills. However, unlike the younger generations of digital natives, only a small portion of them are active on social media or make most of their purchases online.
Trust
In Hungary, most companies already have measures in place to address IT disruptions and breaches of cyber security and data privacy, and nearly 70% of them are aware that risks from the use of social media could have a negative impact on stakeholder trust.
Globalisation
Respondents have been largely positive about the impacts of globalisation. In Hungary, however, a high percentage of CEOs say that globalisation has not helped to close the gap between rich and poor. Over half of CEOs also expressed doubts about the fairness and integrity of global tax systems.
