|By PR Newswire||
|March 25, 2014 03:23 AM EDT||
LONDON, March 25, 2014 /PRNewswire/ --
UK companies operating in the high growth Asian region were outperforming their international peers, according to a new Telstra Global survey released today.
The report identified the top performing businesses in Asia as 'Asia Business Champions' and found UK companies were overrepresented among the star performers, which were defined as the top 5 per cent of companies operating in Asia based on past high performance and future promise of success.
The survey also found that nearly three quarters of UK headquartered businesses had achieved their financial and strategic objectives in the region over the past three years and they were also optimistic about the future outlook for business in the region.
Telstra Global, Head of EMEA and the Americas, Mr Tom Homer said, "Multinationals from around the world are meeting and exceeding their strategic and financial objectives in Asia. As a company with a long track record of operating successfully throughout Asia, we launched Connecting Countries research to quantify the business sentiments of multinationals operating in the region, and to ascertain the attributes and success factors for companies that are excelling in the region."
The first in an annual series, Connecting Countries research is commissioned to benchmark the mind-set and strategies of high performing international firms in Asia.
"UK companies are performing particularly well in Asia, and joining the ranks of the very best performing businesses in Asia," said Mr Homer. "Off the back of that success, UK companies in Asia are a very keen to pursue expansion with almost three quarters saying that expanding into new countries in Asia is important to their success, compared with less than two thirds of all other companies."
"Workers at British companies in Asia are also much more likely to say that they will be working overseas in five years' time, compared to 30 per cent of workers from other countries," added Mr Homer. "Another distinguishing factor of British companies in Asia is the high value of importance placed on bringing senior leaders to local offices with 42 per cent of UK companies saying this is extremely important, compared to 32 per cent of all other companies."
The research identifies a superior category of top performing companies in Asia, termed Asia Business Champions in the report, and categorised as such based on having far exceeded their financial and strategic objectives in the last three years, and their expectation to succeed again in the coming three years. Asia Business Champions comprise top 5 per cent of overall firms in Asia.
"On a global level, the ICT industry is a standout in Asia, with more than 70 per cent of these companies having been very successful in Asia in the past three years, compared to 61 per cent of companies across other sectors," said Mr Homer. "Over the next three years both financial services and insurance companies and those in the ICT sector are most bullish about exceeding their objectives in Asia, with 55 and 51 per cent respectively, compared to 42 per cent overall."
"Besides the promising market conditions, successful companies in Asia have the necessary foundations - strong leadership and communication across global headquarters and local offices, combined with a long term view and investment strategy," concluded Mr Homer.
The Telstra Global Connecting Countries report also revealed:
Multinationals Meeting Strategic and Financial Objectives:
- 83 per cent expect to meet or exceed their financial and strategic objectives over the next three years in Asia; 11per cent expect to far exceed their objectives;
- Companies in the ICT sector are more like to have been very successful in the past three years, 71per cent compared to 61per cent across all sectors;
- Companies in the financial services and insurance sector are more bullish than other industries about exceeding their objectives in the next three years, with 55 per cent compared to 42 per cent overall.
- 23 per cent of companies see expanding into new markets as extremely important to the success of their firm in the next three years;
- China is the primary growth market for companies who see expansion into new markets as a high priority in Asia over the next three years, 50 per cent nominated China as part of their strategic expansion plans;
- Additionally, companies are also focused on expansion into Singapore (38 %), Hong Kong (33%) and India (32%).
Profile of High Performing Companies in Asia:
- Asia Business Champions are more likely to have a global footprint than others in the study, 82 per cent operate both in and outside of Asia;
- US and UK firms are over-represented in the ranks of the top five per cent - Asia Business Champions. 32% of Asia Business Champions are companies headquartered in the US, compared to a total of 14% of overall respondents being companies from the US. UK companies make up 8 per cent of Asia Business Champions, compared with only 3 per cent of overall respondents being companies headquartered in the UK;
- ICT and financial services companies are also over-represented in the Asia Business Champions category, 15 per cent and 12 per cent respectively, compared with 7 per cent of all businesses.
Top Challenges of Doing Business in Asia:
While the outlook is positive, respondents identified two clear pain-points:
- 31per cent say finding good talent is extremely challenging;
- 29 per cent say companies expecting to see financial returns too quickly is extremely challenging.
Find out more and download the Connecting Countries report: http://www.telstraglobal.com/connectingcountries
This study was commissioned by Telstra Global and interviewed 4,155 senior executives in China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, Philippines, Singapore, Taiwan, Thailand, and Vietnam with professional experience working and studying in a country other than the one they are currently working in. Interviews for this study were conducted online and executives were drawn from databases of business professionals held by market research firm GMI. Additional interviewees were recruited through targeted outreach on LinkedIn and through other professional networks. Interviewees were incentivised with a US$2 donation to their choice of the Red Cross/Red Crescent, WWF or UNICEF. In addition 12 in-depth interviews were conducted with C-level executives in leadership positions with significant professional experience operating across multiple countries. These interviews lasted 75 minutes and were conducted in Beijing, Hong Kong, Singapore and Jakarta.
About Telstra Global
Headquartered in Hong Kong, Telstra Global is part of Telstra Corporation Limited, the leading telecommunications and information services company of Australia. We provide top-tier international customers across Asia Pacific, Europe, and the Americas with a full breadth of holistic and end-to-end solutions including managed network services, data, voice, and satellite solutions. Through our strategic investments over the years, we now own one of the most technologically advanced IP backbone networks in the world, together with our offshore subsidiaries. We have licenses in Asia, Europe and the US and facilitate access to over 1,900 PoPs in 230 countries and territories across the globe.
Media contact: Will Painter, +44(0)2073091131
Email: [email protected]