Bangkok--2 Nov--HSBC Thailand
**97% of businesses in Thailand are using of data and analytics to optimise performance, compared to just 78% globally**
**92% of Thai firms say the outlook for international trade is favourable**
With strong economic momentum in Thailand, the country's businesses are optimistic about the prospects of international trade, according to the latest HSBC Navigator: Now, next and how for business report. The report surveyed over 8,500 companies in 34 markets around the world, gauging business sentiment and expectations on trade activity and business growth.
Businesses in Thailand are more optimistic about the outlook for international trade (92%), compared to their global peers (78%). Thai firms cited increased consumer confidence (50%) and global economic growth (44%) as the key drivers underpinning their optimism. Nearly all respondents from Thailand are also feeling confident about their current trading environment (96%) marginally higher than companies globally (81%).
Krisda Phatcharoen, Head of Commercial Banking, HSBC Thailand said, "It's exciting to see a buoyant business outlook in Thailand and this is certainly a trend we're seeing from our clients. As businesses in Thailand grow, we expect new opportunities emerge from increased investment in technology, digitisation and data optimisation."
The opportunity is turning into a commercial reality for companies in Thailand. Businesses in Thailand also believe the prospects of a free trade agreement with the European Union, Thailand's third largest trading partner, will help drive opportunities and stimulate economic growth. Similarly, the majority (83%) believe that Thailand's ASEAN membership and ASEAN China-Free Trade Agreement (74%) will boost their business in the next three years.
However, trading internationally isn't without its concerns for Thai firms, as 81% believe that governments around the world are becoming more protective of their domestic businesses, compared to the global average (63%).
While challenges may exist, many Thai corporates are turning their attention to productivity and new business strategies. The vast majority of (97%) of Thai respondents are using data and analytics to optimise their performance, significantly higher than the globally average of 75%. Firms in Thailand are also positive that they can reap the benefits of innovation, such as using technology to improve efficiency of manufacturing (84%), Internet of Things (78%) and Industry 4.0 (78%).
More than half of firms in Thailand say they are investing in technology to drive sales (56%), and to target customers (also 56%) and improve operational efficiencies (55%). This focus is in line with the government's 'Thailand 4.0' initiative which aims to boost economic prosperity and support innovative technology hubs.