UK Businesses Swiftly Pivot to Adapt Amid Challenging Market Conditions

22 Oct, 2024

Nearly nine-in-ten executives believe that calculating business risks is essential to gaining market share. New research from Elixirr reveals that risk-taking comes naturally to business leaders, with fewer than one in five finding it difficult to make bold decisions. Stephen Newton, founder and CEO of Elixirr, highlighted that many industry leaders are defying the norm, taking risks to secure their place as frontrunners once the economy stabilizes. Newton emphasized the importance of celebrating high performance and encouraging risk-taking to deliver returns.

The survey included over 500 enterprise leaders from various sectors, including IT, retail, construction, manufacturing, finance, and professional services across the UK. The findings showed that 86% of respondents believe taking calculated risks helps them outpace competitors and become better leaders. Furthermore, 22% of leaders pivoted their business models in the last year to capitalize on new revenue streams, while only 17% of board members viewed this approach as challenging.

A significant portion of respondents admitted past regrets due to missed opportunities. About 33% of enterprises identified cutting back on tech investments as their biggest mistake during times of economic uncertainty. Other regrets included reducing marketing and advertising spending (25%) and delaying the pursuit of external investment (24%).

The research arrives amid turbulent years for UK businesses, marked by inflation, rising borrowing rates, and increased corporation taxes, as well as four different Prime Ministers. Newton's advice to the UK government is to foster a business environment that rewards risk-taking and attracts private investment. Around 25% of leaders advocate for reducing government red tape and adopting a holistic approach to tax reforms, particularly around inheritance tax. Encouraging private investment and innovation is key to ensuring business survival and growth in challenging times.

Related News

Interview