Competition, demand still top issues

Competition in the marketplace and customer demand are the main challenges facing Canadian businesses, according to a 2009 CICA/RBC Business Monitor survey. Seven in 10 executive-level CAs polled say competition in the marketplace is of major or moderate importance, down slightly from 79% in 2008. Customer demand is considered important by 69% of respondents, virtually unchanged from 67% in 2008. The only other issue at least half of respondents rated as important is the value of the Canadian dollar, at 54%.

The survey also found some significant changes from year to year. The issue that increased the most in importance is collecting receivables, up to 34% in 2009 from 24% in 2008. Also up are access to capital, cost of capital and liquidity.

Availability of management skills declined the most, with only 32% of respondents rating it as important in 2009 compared with 51% in 2008. Other issues that declined in importance are regulatory requirements and succession planning.

The results are from the Q2 2009 CICA/RBC Business Monitor survey conducted in August 2009. Go to www.cicarbcbusinessmonitor.com to view the full report for this study.

John Tabone is CICA’s manager of member value and research services