41 percent of businesses in Singapore and 45 percent of businesses in Hong Kong believe using of cloud solutions has enabled them to internationalise more quickly.
A new Frost & Sullivan's study commissioned by NetSuite reveals a strong correlation between the use of the cloud to access IT resources and the degree of internationalisation of a business.
70 percent of Asia-Pacific businesses that currently use the cloud are internationalised, compared to only 22 percent of non-cloud users.
71 percent of cloud users in the region have entered new geographic markets in the past five years, compared to only 31 percent of non-cloud users.
"Our research has shown how industry change is not just continuing, but accelerating. Two new key factors that are driving this change have emerged from this study: significant increase in business costs and evolving customer needs," said Mark Dougan, managing director for Australia and New Zealand at Frost & Sullivan. "These trends may create new challenges for organisations, but at the same time they also create significant opportunities for growth, with internationalisation topping the list."
Businesses in Singapore and Hong Kong view overseas expansion as a major growth engine.
Both these regions are often challenged with limited growth potential domestically due to the small population size and falling growth rates in their local markets.
Globalisation is currently seen as an opportunity rather than a threat by 83 percent of organisations, particularly in Singapore, New Zealand and the Philippines.
48 percent of executives in Singapore are susceptible to increasing business costs, and say it is having a very significant impact on their industry.
The study identifies recruiting suitable employees, taxation issues and IT issues as the top three challenges to internationalisation in Singapore.
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