MartinCullen10Green shoots – two words that have been written of and spoken of by the more optimistic commentators out there over the past six months.
But those who have ventured to adopt a positive note about turning a corner, about the economy surfing over the recessionary tsunami and into calmer seas will have further reason to wax optimistically this week
Why so? The latest South East Business Confidence Study, perhaps the most accurate gauge of the mood among businesses throughout the region, has just been published. And the news is relatively good. Even promising, one could argue.
The latest study produced by the Kilkenny-based Market Dynamics market research team drew from no less than 326 organisations located across the south east.
And the notable improvement in sentiment among the region’s business, according to Market Dynamics “offers a strong signal that the worst of the recession may be over”.
Feel like shouting from the rooftops and rejoicing with that declaration? Well, stall the digger for a moment or two because that statement was followed hot on its heels by this little nugget.
“However, the majority don’t expect to see any significant improvement in trading during the remainder of 2010 while many believe they will undertake further cost cuts including workforce reductions this year.”
Ouch – now that’s not news that anyone who’s already had their earnings and hours cut while working harder than ever before wants to hear.
Due to the recession, roughly 75 per cent of the surveyed businesses have been forced into a series of price reducing measures. Interestingly, 60 per cent of those businesses expect to maintain those prices once the sun shines on the Irish economy again.
And when those better times come, many of the businesses involved in the study intend to “make significant investments in marketing, training and IT”.
See The Munster Express newspaper for full story.