Taking into consideration CFOs’ stated intention to expand in specific countries, we have created an index of market opportunities. The index identifies where CFOs believe the greatest opportunities for future growth will come from. Countries are ranked by the nineteen opportunity factors and sixteen challenge factors that the companies participating identified as most important when considering cross-border expansion.
The index shows that the top three global investment destinations are China, USA and Germany, with China representing fully three times the business opportunity of Brazil, UK or France.
According to CFOs, the six most important factors driving opportunity for expansion are: market size, ease of entry, people and culture, market potential, acquisition opportunities, and better opportunities abroad than at home.
The five top challenge factors are: geo-political risks, finding the right local people, in-market competition, red tape and corruption, and having money and resources to expand.
BDO GLOBAL MARKET OPPORTUNITIES INDEX
