Cebuano CEOs are putting more focus on forging stronger partnership with government and improving investment incentives to promote the growth of Cebu and their businesses.
This sums up the findings of the PwC Cebu 2017 CEO Survey conducted by Isla Lipana & Co./PwC Philippines, the Knowledge Partner of the Cebu Chamber of Commerce and Industry (CCCI).
The survey, entitled Great Expectations: The rise of the next-generation Cebu business leaders, sought to understand Cebuano entrepreneurs and Cebu’s contribution to their success.
Respondents were asked about their personal ambitions, their plans for the future of their businesses, and the unique challenge of carrying the mantle of being the next Cebuano tycoons.
“CCCI is pleased to work with PwC Philippines for the first of a series of Cebu CEO Surveys which are envisioned to benchmark the changes in how our CEOs think and innovate,” says Melanie Ng, CCCI President.
“This CEO Survey will give a glimpse on the journey the business leaders of Cebu undertook in their entrepreneurial journey as they share their experiences and insights. We hope that these stories inspire and promote growth and proliferation of more entrepreneurs in the region,” Ng added.
In sharing some of the survey findings, PwC Philippines’ Chairman and Senior Partner, Atty. Alexander Cabrera said that “building a lasting legacy for the organization and the people they serve while growing the business is fundamental to our Cebu CEOs’ success.”
• Among the CEOs interviewed, 44 percent traced their roots outside Cebu. Eighty-three percent (83%) cited trade opportunities as the top reason for moving and living in Cebu. Other reasons stated were economic conditions (69 percent) and geographic locations (45 percent).
• Seventy-seven percent (77%) of the next-generation business leaders said that they have to work for another company before starting their own business.
• Majority of Cebu CEOs started their business in trading. Now, CEOs have diverse business interests, from manufacturing (17 percent), retail and wholesale distribution (15 percent), to consumer food and beverage (14 percent).
• On technology and innovation: 48 percent consider speed of technological change as a top threat, 35 percent believe that technology should be prioritized, while 50 percent say that the most important challenge will be the need to innovate.
• Most agree that while the Cebu market provides all the opportunities for growth, the Cebuano market can be very discerning. Even with the entry of different foreign brands and formats into the local market, there is a considerable degree of brand loyalty from consumers as Cebuanos place high regard on quality, price and consumer experience.
• Availability of key skills (55 percent), uncertainty in economic growth (51 percent) and over-regulation (50 percent) were cited as the top three threats Cebu will have over the next three years.
• Over the next three years, CEOs are considering to enter the following industries, given the market situation: real estate and construction, tourism, food manufacturing, and consumer retail and technology. Majority of the MSMEs and large companies are contemplating to enter the real estate and construction industry.
• In terms of industry needing priority, infrastructure topped the list with 81 percent, tourism with 63 percent, and technology with 35 percent.
“We would like to thank the 96 CEOs who shared their insights with us. We would also like to express our sincerest gratitude to the 12 CEOs who shared their inspiring stories and aspirations which we featured in the report,” says Atty. Cabrera.