LONDON, Jan. 5, 2017 /PRNewswire/ -- Summary
Mergers and acquisitions are expected to increase within the FMCG industry over the next six months (November 2016-April 2017) as a result of rising competition, margin pressure, and low-cost debt financing. Even though pricing pressure and market uncertainty have been highlighted as major business concerns for the global FMCG industry over the next six months, respondents are willing to increase their focus towards expansion in current markets and development of new products. Furthermore, developing economies such as China, Mexico, and Brazil are projected to offer significant growth opportunities for the global FMCG industry due to the growing middle class, expansion of retail stores, and lifestyle changes among the young population. On average, the global FMCG industries procurement expenditure is projected to increase by 5% over the next six months.
- Expansion in current markets and new product development are major priorities for FMCG organizations during the next six months (November 2016-April 2017)
- China and Mexico are highlighted as prominent growth offering emerging markets over the next six months
- Capital expenditure on new product development, and machinery and equipment purchases are projected to increase during the next months
- Survey respondents expect an increase in procurement activities on raw materials and capital equipment purchases in the coming six months
- The majority of industry executives foresees an increase in supplier prices, while 16% anticipate no change
Canadean's FMCG Industry Business Outlook and Procurement Survey Nov 2016-Apr 2017 report examines executives' opinion on business outlook and procurement activities over Nov 2016-Apr 2017. It also highlights key business priorities, supplier price variations, changes in capital expenditure, and organizations' perspective on e-procurement.
Reasons To Buy
- FMCG companies can realign business strategies by comparing the business priorities over the next six months Nov 2016-Apr 2017 as compared to previous six months Apr 2016-Sep 2016
- Organizations can develop or adjust business expansion plans by knowing the significant growth offering emerging and developed markets highlighted in the report
- Helps organizations to adjust their procurement budget by providing information about procurement budget projections anticipated by executives for Nov 2016-Apr 2017
- Organizations can implement effective price management by viewing supplier price variations highlighted for Nov 2016-Apr 2017