CEO Survey results - U.S. Economy
| Do you think the U.S. economy’s performance will improve, deteriorate or remain stable in 2009? | |||
| 2008 | 2007 | Change from 2007 (% pts.) |
|
| Improve | 28% | 17% | +11.5 |
| Deteriorate | 39 | 38 | +0.7 |
| Remain stable | 28 | 43 | -14.9 |
| Don’t know/not sure | 5 | 2 | +2.7 |
 |
Dr. Win Philips
University of Florida
Vice President for Research
Gainesville
I suspect that, at best, the economy will stabilize next year. The issues and factors that have caused the downturn are too numerous and too complex to allow correction in the near term. The University of Florida will undergo some fiscal challenges, but research and enrollment pressures will remain strong. Obviously, the financial sector needs to recover from a serious downturn before other enterprises can benefit. The manufacturing sector and capital-intensive industries will remain seriously challenged. Borrowing to maintain inventory will be difficult and, of course, consumer spending will be slow to recover. While Florida has a stressed economy, it should recover in step with the larger national scenario. I am not an economist, but money needs to become more available for investment, loans, technology development and research.
CEO Survey results - Economic Impact
| What one factor do you see as having the most impact on Florida’s current and future business climate? | |
| 2008 | |
| Housing market | 55% |
| Credit crunch | 28 |
| Recession | 10 |
| Price of oil | 4 |
| Devaluation of the dollar | 2 |
| Foreign competition | 1 |
CEO Survey results - 2008 Performance
| Overall, is your organization on track to reach or exceed revenue goals set for 2008, or do you expect to fall short of your goal? | |||
| 2008 | 2007 | Change from 2007 (% pts.) |
|
| Meet or exceed goal | 51% | 68% | -16.8 |
| Expect to fall short | 48 | 30 | +17.5 |
| Don’t know/not sure | 1 | 2 | -0.7 |
 |
Michael Minton
Dean Mead
President
Orlando
The legal industry is experiencing a shake-out of sorts. Law firms that were heavily dependent on a few large development-related clients or those that serviced the development industry are seeing a significant downturn. Thankfully, our practice is much more stable because it is focused on the long-term, generational evolution of Florida-owned family businesses which are the often overlooked, but in times like these, the absolutely essential backbone of our economy. We have been very proactive with our clients to assist them in addressing their credit needs and in overcoming the various mini-crises that naturally spin off from the credit crunch. We are also helping our clients identify cost-cutting and revenue-enhancing opportunities. We believe by adding value to our clients’ businesses, we are viewed as a complementary aspect of good management rather than a “necessary evil” as some businesses might characterize their attorneys.
CEO Survey results - 2009 Forecast
| What is your forecast for your organization’s performance in 2009? | |||
| 2008 | 2007 | Change from 2007 (% pts.) |
|
| Better than 2008 | 45% | 57% | -11.9 |
| About the same as 2008 | 37 | 35 | +2.0 |
| Worse than 2008 | 18 | 7 | +10.5 |
| Don’t know/not sure | 0 | 1 | -0.6 |
CEO Survey results - property values
| What is your expectation for property values in Florida through 2009? | |||
| 2008 | 2007 | Change from 2007 (% pts.) |
|
| Rise | 1% | 9% | -8.3 |
| Fall | 38 | 44 | -5.6 |
| Stabilize | 58 | 45 | +13.2 |
| Don’t know/not sure | 3 | 2 | +0.7 |
 |
Stephen Miller
MSCW
President and CEO
Orlando
The near-term 50,000-foot view for raw land values is not encouraging. The only way this situation can improve is when lending institutions, working with the federal government, get back in the business of acquisition and development loans. The only buyers for raw, undeveloped land right now are cash buyers because the lending option is not available. Cash buyers are only looking to pay far below even current values so those holding raw land have few options. There are some exceptions in key markets like the medical city in Orlando. As far as residential property values go, government and the lending institutions must slow down the foreclosure activity, as it is increasing the inventory surplus and depressing prices. Our design firm is at the front end of the development engine. Once the banks and Feds place money back into the marketplace, we will lead the process of getting the construction machine cranking again.