Export-led turnarounds on 2012 agenda, says PwC
The number of export-led restructurings among East Midlands companies is likely to increase in 2012, according to experts at PwC.
The accountancy firm said that turnaround numbers could be boosted as companies look toward export markets to grow amidst the UK's sluggish economic forecast.
Currently, more than half of the exports made by businesses in the East Midlands are to western Europe.
However, with growth in these territories dipping in response to the Eurozone crisis, this level of contribution is "unlikely to be sustained", suggests PwC.
Last month, the CBI called for UK-based exporters to switch their focus to the BRIC economies in Brazil, Russia, India and China and consider emerging markets in places such as Indonesia, Mexico and Turkey.
Eddie Williams, business recovery specialist at PwC in the East Midlands, said: "While most businesses were concentrating on riding out the economic downturn through 2008 - 2011, they are now facing the further challenge of maintaining business performance in a low growth economy. However, doing nothing is not an option as the rising costs associated with a higher level of inflation begin to eat into profits.
"A strategic restructuring which opens the door to new markets at the same time as reducing costs or improving operational efficiency, could restore business growth and attract investment."
