No. of Recommendations: 6
I was struck by this article in FT today. Company CEOs are usually a very optimistic bunch. Yet a very large percentage question the viability of their companies in 10 years. On this and other boards like Manlobbi's Descent we see many projections of what a company will be earning in 10 years and estimates of its IV. In Berkshire's case there is the added concern of an unprecedented change in CEO. I hope Buffet is asked this question in the next AGM, I would love to hear his views as it pertains to Berkshire owned businesses and major portfolio companies.
Chief executives have become increasingly concerned that their businesses will fail during the next decade, despite signs of improvement to the economic outlook for this year.
The coronavirus pandemic, energy crises, a war in Europe and heightened geopolitical tensions have left business leaders low on confidence, with a large portion of those surveyed by PwC, the global accounting firm, saying that they needed to become more resilient.
Of 4,410 chief executives polled by the firm late last year, 40 per cent said that they did not see their own companies as viable in 10 years if they stayed on their current path. The pessimism among business leaders towards the end of 2022 contrasted with better data than expected on the global economy in recent weeks.
