To: Mark Peterson CPA who wrote (95475 ) 2/6/1999 9:32:00 AM From: Mohan Marette Respond to
Outlook 1999-"There's definitely good news here," said Pete Collins, Pricewaterhouse.(Courtesy:ComputerWorld) Survey finds execs see bright economy for '99 New research shows that IT company executives who do business internationally are optimistic that 1999 will be a strong year for global revenues. "There's definitely good news here," said Pete Collins, survey director for PricewaterhouseCoopers LLP, regarding the results of the company's new quarterly Technology Barometer. Even executives at companies that have been affected by recent Asian economic turmoil feel good about the prospects for 1999, according to the survey. "It looks like a rebound is in the works," Collins said. If business continues on its current track, the execs expect average revenue growth of 25.3%, compared to 20.3% in 1998. International revenues are forecast to be 29% of the overall growth total, up from last year's 27.1%, the survey found. The survey responses came from 154 chief financial officers and managing directors from large, public companies, including high-tech subsidiaries and divisions, as well as 222 CEOs from smaller, privately held companies. Most of the companies are in the U.S.expanded electronic commerce at 44%, mergers and acquisitions for 41% and capacity management for 30%. The survey also found that companies, particularly smaller ones, believe it's important to develop strong global marketing strategies. "If they can get their marketing act together, from strategy to execution ... they have tremendous growth potential," he said, adding that many smaller companies haven't paid adequate attention to that area. "This, hopefully, will serve as a wake-up call."Another survey finding indicates that smaller companies are able to capitalize on electronic commerce more rapidly because they have more flexibility "and the ability to turn on a dime" compared to large businesses, Collins said. "Small businesses really have the advantage there," he said. Interestingly, concerns about the potential for year 2000 computer problems didn't arise as a possible stumbling block to growth this year. Although respondents weren't specifically asked about year 2000, if it were a pressing issue in terms of revenue growth, "it certainly would have popped to the surface," Collins said.
