How high performers are accelerating ahead

Cost competitiveness: finding the right balance

  • Share

High performers understand not only what drives cost, but also how cost creates value. They also understand that simply cutting costs will not result in long-term success.

Price

Over half of the high performers polled believe that they can increase their prices by more than 5% in the next two years. Low performers, on the other hand, are much less confident: only 14% think they can raise their prices by the same amount. This illustrates how successful high performers have been in understanding customers, analyzing demand and building their brand appropriately.


Future pricing of own primary products or services

EY - Future pricing of own primary products or services


Cost

In today’s highly competitive market, companies need to be even more vigilant than usual when it comes to their costs. High operating expenses and increased market complexity have forced many businesses to rethink their approach to cost reduction. But not all companies are approaching the challenge in the same way.

Our research finds that high performers are more likely to focus on improving efficiency, where low performers look to reduce headcount. Once again, high performers also make understanding the market more of a priority.

Previous Next

Future pricing of own primary products or services

Q: Over the next two years, how do you expect prices for your company's primary products or services to change?


EY - Future pricing of own primary products or services

Source: EIU panel survey, August-September 2012. All charts show percentage of respondents.

×