War with Iraq could threaten regional IT market recovery
Senior executives in European, Middle East and Africa (EMEA) technology companies are concerned that a war in Iraq could delay a recovery in the IT market, according to a new survey conducted by NettResults / Eurocom.
Some 60 percent of European technology executives ranked a war in Iraq amongst the top three most serious threats to recovery in the IT market. Over a quarter ranked it as the number one threat. The study covered a total of 147 executives in technology companies located across the Middle East, 12 Europe countries and South Africa and was conducted during February and March 2003.
“The survey finds that a war in Iraq is seen as second only to a slowdown in the global or US economy as the major threat to recovery in the IT market. If it happens then this emphasizes the importance of a short war not only from a humanitarian point of view but on economic grounds as well,” commented Managing Director, NettResults Integrated Marketing and Public Relations, Nick Leighton. “If the war is lengthy to the extent that it starts to impact on the US or global economy then the tech industry will suffer a double blow because of the overall importance of the US market to the tech sector.”
“Our survey did not identify whether technology executives were for or against a war and it is significant that it included Middle East owned companies as well as US subsidiaries. There seems little doubt, however, that nervousness and uncertainty over the Iraq situation is delaying business decision making and is seen as a barrier to recovery although not the main one,” said CEO and founder of the Eurocom, Tom Burgess.
Some 36 percent of respondents see a slowdown in the global economy as the main danger to IT recovery followed by a slowdown in the US economy and an Iraq War. In terms of threats to IT recovery, these are ranked ahead of the decline in the telecommunications market; fear of another major terrorist attack or another high profile corporate fraud or accounting scandal. — (menareport.com)
© 2003 Mena Report (www.menareport.com)