Chemical Monitor: Companies well prepared for the potential fall in demand

All in all, the mood in the chemical industry has developed rather reluctantly. This shows the general satisfaction with the current business situation. On a scale of 1-6, based on German school grades, the respondents gave a mean value of 2.7 for the current business situation after a giving a value of 2.0 in the last summer survey of 2011. The expectations for the upcoming months are valued at 2.7 and lie, similarly, below the summer level valued at 2.3.

At the same time, 48% of the respondents estimate that the current debt crisis will have a marginal influence on their businesses. Experts have learned from their negative experiences in 2008 and 2009 and taken precautions. It follows that 77% of the respondents are confident that they are better prepared for a possible recession. Tutor and Principal of the Chemicals Competence Centre at Homburg & Partner, Alexander Lüring, states, ‘Despite the deteriorating business environment, companies feel sufficiently prepared to successfully deal with the potential fall in demand.’

The most important topics in marketing and sales still remain, on the one hand, setting up innovation management and, on the other, developing new business areas. Alexander Lüring concludes by saying, ‘It appears that well prepared companies concentrate on investing in improving service and product portfolios to increase customer satisfaction. We still view this as the ideal way to deal with the increasing insecurity.’