The impacts of the economic crisis on CEE
<h>Spirits low among CEE managers </h>
A Roland Berger Strategy Consultants survey reveals that declining orders, lagging payment practices and financing problems are causing the most worries
The mood among senior managers in Central and Eastern Europe (CEE) has soured considerably since the fourth quarter 2008. Regardless of country or industry, declining orders, lagging payment practices and financing problems are causing companies the most worries. Small wonder that cost reductions and additional budget cutbacks are on the agenda of all managers surveyed, followed by freezes in hiring (83%) and investment (72%).
63% of those surveyed expect a further deterioration of their economic situation, whereas 30% find conditions to be just as uncertain as before. Hardly anybody (5%) has faith in an upswing this year. The crisis struck not only the automotive sector and manufacturing; the metal industry also took a deep hit. A 25-50% drop in sales is specifically projected for this industry.
These findings are based on a new market study authored by Rupert Petry, Managing Partner at the Vienna office, and Vladimir Preveden, Managing Partner in Zagreb. The study was conducted as a follow-up to the initial data gathered in October 2008. For the current survey, more than 300 executives from Central and Eastern European countries (Austria, Croatia, Czech Republic, Hungary, Poland, Romania, Russia, Ukraine) were queried on the effects of the economic crisis.
Interestingly, the degree of pessimism not least depends on the region: The survey reveals that managers in Russia, the Ukraine and Romania are especially pessimistic these days, while managers in Austria and Poland are a little more upbeat. As Rupert Petry puts it, "The further east and south, the darker the mood."
63% of those surveyed expect a further deterioration of their economic situation, whereas 30% find conditions to be just as uncertain as before. Hardly anybody (5%) has faith in an upswing this year. The crisis struck not only the automotive sector and manufacturing; the metal industry also took a deep hit. A 25-50% drop in sales is specifically projected for this industry.
These findings are based on a new market study authored by Rupert Petry, Managing Partner at the Vienna office, and Vladimir Preveden, Managing Partner in Zagreb. The study was conducted as a follow-up to the initial data gathered in October 2008. For the current survey, more than 300 executives from Central and Eastern European countries (Austria, Croatia, Czech Republic, Hungary, Poland, Romania, Russia, Ukraine) were queried on the effects of the economic crisis.
Interestingly, the degree of pessimism not least depends on the region: The survey reveals that managers in Russia, the Ukraine and Romania are especially pessimistic these days, while managers in Austria and Poland are a little more upbeat. As Rupert Petry puts it, "The further east and south, the darker the mood."
