Swiss companies pessimistic
The current KPMG restructuring survey of more than 80 Swiss companies from various industries has revealed that over a third see a deterioration in Switzerland as a business location compared with the previous year.
The current KPMG restructuring survey of more than 80 Swiss companies from various industries has revealed that over a third see a deterioration in Switzerland as a business location compared with the previous year.
The main drivers of these negative developments are the current strength of the Swiss franc and high price pressure. A possible termination of the bilateral agreements is feared by 73 percent of companies as having a negative impact on their business. The survey shows what impact the abolition of the minimum euro exchange rate has had on Swiss companies.
71 percent of the companies surveyed assess the effects of the current strength of the Swiss franc as negative and 16 percent even as threatening to their existence.
This applies in particular to business models where revenues are generated abroad and (personnel) costs are incurred domestically (including tourism). Where differentiation fails to materialize, the lack of competitiveness inevitably affects profit margins.
Pessimism vs. competition
From the perspective of the respondents, a potential termination of the bilateral agreements with the EU poses a similar threat: 59 percent fear a negative impact on their company, while 14 percent even consider a termination of the bilateral agreements to be a threat to their existence.
In line with the previous statements on the availability of personnel, the significance of the mass immigration initiative for competitiveness was also clear here.
Although 56 percent of respondents view the initiative approved by the people as negative for their company, only 2 percent believe that the initiative will threaten their existence in the long term.
The complete study can be found at the following link:
