The Asia Business Council conducted its 2024 survey of members in July and August 2024, offering a set of perspectives from CEOs and Chairmen of predominantly Asian businesses.
Overall business sentiment was split, with 43 percent of respondents indicating optimism about business conditions improving in the next year, 11 percent foreseeing a worsening business environment, and 46 percent saying conditions would remain about the same or that other factors are at play.
For the first time, India emerged as the top destination for new and increased investments planned for the next 12 months, surpassing both the U.S. and China. This shift is attributed to emerging opportunities in India, the resilience of the U.S. economy, and uncertainty surrounding China’s growth trajectory.
Geopolitical concerns continue to weigh on business leaders, and the majority perceived U.S.-China tensions as a risk rather than an opportunity. Respondents mentioned strategies such as diversifying and localizing operations, becoming more cautious in their investments, and enhancing their domestic geopolitical expertise. Despite challenges posed by China’s economic slowdown and lingering pandemic effects, many business leaders remain optimistic about Asia’s long-term potential.
Artificial intelligence (AI) adoption is widespread among member companies, with applications ranging from customer interaction and support to service operation automation to creative and generative AI. A majority of respondents mentioned productivity and efficiency enhancement as key benefits of AI adoption, followed by the ability to unlock deeper insights from data to enable more informed decision-making. However, concerns regarding data quality, regulations, and system integration present challenges to broader AI adoption.
Finally, climate change and sustainability remain key focus areas, with senior management prioritizing board-level governance, net-zero pathways, and technological innovation to address these challenges.