In a recent collaboration with Forbes Insights, FedEx Express (FedEx) disclosed insights from their latest research report, unveiling Southeast Asia as the primary growth hotspot for small and medium-sized enterprises (SMEs) in the Asia Pacific (APAC) region. The study, aimed at identifying international growth patterns over the forthcoming three years, sheds light on both the opportunities and obstacles SMEs face in cross-border commerce.
Conducted among 250 SME leaders, including founders and C-suite executives, spanning various industry sectors across APAC, the survey painted a compelling picture of the region’s economic landscape.
According to the findings, a staggering 68% of respondents pinpointed Southeast Asian countries like Thailand, Vietnam, and Indonesia as harboring the greatest growth potential. The report attributes this optimism to burgeoning economies, cultural synergies, and improving regional trade pacts within the Association of Southeast Asian Nations (ASEAN). Despite this enthusiasm for expansion, APAC businesses encounter hurdles when venturing into markets such as Europe, North America, and South America.
Among the challenges impeding cross-border ventures, complex customs requirements and documentation emerged as the primary concern for half of the respondents, followed closely by the search for new customers and partners in global markets.
“The latest FedEx survey presents valuable insights and opportunities for businesses in the Philippines to better serve their customers and tap into new markets. As SMEs and e-merchants continue to build and optimize their capabilities, FedEx remains a trusted logistics provider, delivering innovative solutions and expertise to enable cross-border growth and success. With FedEx by their side, Philippine businesses can seize the opportunities of the global marketplace and achieve sustainable growth in the digital age,” according to Maribeth Espinosa, Managing Director at FedEx Express Philippines.
Enhancing the customer experience emerged as the top priority for SMEs, with 57% of respondents emphasizing its significance. Despite recognizing the pivotal role of digital technology in addressing customer experience challenges, 71% of participants identified the development and implementation of digital strategies as their most pressing challenge. In addition, mitigating security threats and the cost of system upgrades were cited as significant hurdles.
To navigate these complexities, SMEs are urged to leverage partnerships with entities equipped with digital tools and platforms, thus streamlining the path toward digital transformation.
The comprehensive FedEx research report, available on their website, offers detailed insights to inform strategic decisions for SMEs navigating the dynamic APAC market.