Asian Small Business Leaders Focused on Cost-
August 05, 2010 10:03 AM Eastern Daylight Time
ATLANTA--(EON: Enhanced Online News)--The leaders of small- and mid-sized businesses in Asia are confident
they’ve turned the corner on the recession, but they’ve become greatly worried about rising costs in their region, a
new UPS survey shows.
Unlike the United States, where inflation remains largely under control, the Asian business leaders cite rising costs as
their No. 1 “most pressing business concern” by a margin of 2-to-1 over other issues such as cash flow and interest
And unlike most large regional and multi-national companies in Asia, the small- and mid-sized enterprises (SME) say
they will continue to focus their foreign trading efforts on other countries in Asia, not the United States or Europe.
These smaller firms say they’re conducting more than 80% of their cross-border business inside Asia and over the
mid-term, some 56% of the SME leaders say they’ll stay focused on expansion in Asia.
The findings are contained in the latest annual edition of the UPS Asia Business Monitor, which this year surveyed
1,350 SME leaders across 13 markets: Australia, China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia,
Philippines, Singapore, Taiwan, Thailand and Vietnam.
“This year’s Asia Business Monitor shows that many regional SME’s have broken free from the financial shackles of
the 2009 crisis,” said Derek Woodward, president of the UPS Asia Pacific Region. “More than half (52%) expect
greater growth opportunities in 2010 while only 4% anticipate a decline.”
SME leaders in the Philippines are by far the most bullish on their country’s prospects, while Korea’s SME’s
foresee the fewest opportunities in 2010.
The projections of SME’s for trade growth within Asia have more than doubled since last year, from 28% to 69%,
the survey found. That positive attitude seems to have been fueled, in part, by the number of Free Trade Agreements
(FTA) that took effect or were