Believing what CEOs say about the economy is a dangerous game. Some are surrounded by advisers who tell them what they want to hear; others only talk their book.
One executive with a track record of frankness on the global economy is Cisco CEO John Chambers, who has led that company forever. He called the economy “challenging”but said the US could lead the global economy out of the slump.
Over the summer, Cisco said the economy was improving in the U.S. and that customers were more willing to buy. That continued into the autumn… But while business was healthy in the U.S., he said he expected “Europe to get worse before it gets better.”
Chambers said business confidence is the key to growth next year. If companies invest, the economy will grow 3%, if not it will be around 2%.
He had some very positive comments on Canada, saying Cisco will grow their business there and invest overall.
If I were to look at one model we ought to look at carefully around the world, it’s Canada — the easiest place to do business.
