SURVEY: US Firms Are The Least Likely To Increase Spending In 2013
Just 17% of firms in the U.S. say they'll increase spending this year, according to a new survey from American Express, the lowest figure in any country.
American CFOs are also second-most-likely to employ tight spending controls. France is No. 1.
The Americans cite new regulations and cost of compliance as the main factor putting a brake on spending:
Looking at a wide spectrum of industries in the U.S. – from accounting and real estate to food and beverage – 30 percent of all respondents expect a substantial increase in the total cost of compliance with laws being developed.
In addition, 45 percent of respondents believe that the total cost of complying with government regulation has already increased substantiallyover the past five years.
The survey also found few Chinese respondents had plans to maintain tight spending controls.
Here are the full results:
Selected Highlights
Spending and Investment Increases
| Most Likely to Substantially Increase Spending and Investment | |
| Countries | Percentage |
| Argentina and India | 75% |
| Brazil and China | 71% |
| Mexico | 57% |
| Least Likely to Substantially Increase Spending and Investment | |
| Countries | Percentage |
| Canada | 31% |
| France | 22% |
| United States | 17% |
Economic Optimism by Country
| Most Optimistic about Economic Growth | |
| Countries | Expecting Economic Expansion |
| Brazil | 100% |
| China and Hong Kong | 94% |
| Mexico | 81% |
| Least Optimistic about Economic Growth | |
| Countries | Expecting Economic Expansion |
| United Kingdom | 50% |
| Spain | 43% |
| France and Russia | 39% |
Additional U.S. Findings
| U.S. CFOs Relatively Optimistic About Growth | |
| Expect to Increase Headcount | 50% |
| Expect More M&A Activity Globally | 79% |
| Predict Economic Expansion in the U.S. | 71% |
| U.S. CFOs Remain Cautious about Spend | |
| Concerned About Political Uncertainty | 50% |
| Do Not Plan to Expand Globally | 26% |
| Plan Modest or Tightly-Controlled Approach to Spend | 88% |