The world's richer economies, including the US and the UK, can
expect a decade or more of low growth, according to a new report by
Kantar company, The Futures Company.
The report, Succeeding in low-growth markets, outlines
seven factors that are causing a squeeze on growth. They include
structural factors such as demographic change, the long-term shift
towards services, the upward shift in long-term energy prices, and
economic factors including continuing levels of consumer debt,
greater inequality, and increasing business scale. The rise in
digital technology, often seen as a source of innovation, has also
stripped value out of economies.
The headwinds don't look good for growth over the next decade -
everything has slowed down, from productivity levels to the rate of
innovation. That doesn't mean there aren't opportunities for
businesses out there, but it does mean they have to look harder for
Although the report argues that low growth will be the dominant
factor in the economies of the US and Europe, that does not mean
there is no scope for innovation. What is clear, though, is that
innovation strategies will have to change.
Read the full report on The Futures Company website.
Source: The Futures Company