Building New Businesses in 2022 and beyond

Quick summary, so useful, as always:

• Eight in ten surveyed CEOs report new-business building as a top five priority despite recent heightened economic volatility.
• Surveyed business leaders report that their companies are building 50 percent more new businesses per year than they did two to five years ago.
• Business leaders report that every dollar of revenue from new businesses generates almost twice the enterprise value versus every dollar of core business revenues.
• Sixty-three percent of surveyed business leaders expect their investment in new-business building to increase from 5 percent of revenues today.
• Organizations will need to more than double their rate of business building to achieve leaders’ expectations that 29 percent of revenue in 2027 will come from new businesses.
• Responses suggest that new businesses built by large incumbent organizations currently generate $5 trillion in revenues and could grow to $30 trillion in five years.

What now, get to it! Originally appeared here:

https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/new-business-building-in-2022-driving-growth-in-volatile-times