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Strategy, Growth Article, trends influencing the global economy
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Article at a glance:

What global executives think about growth and risk

The latest McKinsey Global Survey of Business Executives, with responses from some 9,300 of them, finds that the emergence of developing economies is creating a paradox of growth and risk for today's global executives. On the one hand, rising consumer affluence in countries such as China and India presents compelling opportunities for growth; on the other, the resulting emergence of low-cost business systems makes global markets increasingly competitive. A summary of the results offers the views of executives around the world on the most important trends influencing the global economy in the next five years, with a particular focus on growth and its constraints.

The take-away

The way executives feel about global trends often depends upon which side of the cost divide they occupy. Still, corporate leaders agree on two things. First, geopolitical instability, the disruption of natural resources, and growing environmental hazards represent the biggest threats to global business in the months and years ahead. Second, only companies that innovate more quickly than the market changes will reap the benefits—and avoid the risks—created by rapidly shifting global trends.

This article's exhibits highlight executives' opinions on the most important trends influencing the global economy, with a particular focus on growth and its constraints.


This article is one of four that draws on responses to the McKinsey Global Survey of Business Executives conducted in the spring of 2005. To read the others, click on the links below:

The McKinsey Global Survey of Business Executives: Confidence Index, April 2005

How India's executives see the world

What global executives think about technology and innovation

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