SBF: National Business Survey (NBS) 2024 – Scaled Internationally Edition

The SBF National Business Survey (NBS) is the flagship survey of the Singapore Business Federation (SBF). Into its 17th annual edition, the SBF National Business Survey 2024 - Scaled Internationally Edition provides insights on internationalisation-related issues faced by businesses in Singapore.  The survey period of this study was from 28 August to 29 October 2024. The study drew responses from businesses across all key industries. A sample size of n=519 was achieved for this report.

Executive Summary

State of Internationalisation

• 71% of businesses have overseas presence, a decrease of 5%-points from 76% in NBS 2023/2024. Among these businesses, the top 3 overseas markets are Malaysia (63%), Indonesia (49%) and China (46%). 56% of these businesses have more than 40% of their revenue contributed by overseas operations, an increase of 2%-points from last year.
• Notwithstanding, the proportion of businesses with future overseas plans increased by 2%-points from 57% in NBS 2023/2024 to 59%. Those with plans indicated Vietnam (25%), Indonesia (25%) and Thailand (21%) as the top favoured countries. Among the markets, the top 3 markets that have seen an increase in interest for future overseas expansion are United Arab Emirates (UAE) (increase of 7%-points from 7% to 14%), Saudi Arabia (increase of 6%-points from 5% to 11%) and New Zealand (increase of 6%-points from 5% to 11%); while the top 2 markets that have seen a decrease in interest are Malaysia (decrease of 10%-points from 29% to 19%) and China (decrease of 5%-points from 22% to 17%). While interest in expansion within ASEAN (63%) remains strong, more businesses are prepared to look at markets further afield with headroom for growth, such as UAE, Saudi Arabia and New Zealand, for future overseas expansion.
• The key considerations for overseas expansion of businesses are growth potential of market (60%), having existing clients in the market (45%), size of market (44%) and having existing contacts and network in the market (42%). 
• Out of the businesses with overseas engagement, more SMEs (59%) expect to have an increase in sales earned outside of Singapore in the next 12 months, as compared to large companies (43%). As such, more SMEs (31%) plan to increase their direct investment abroad in the next 12 months than large companies (19%).
• 29% of businesses do not have any overseas business presence, an increase of 5%-points from last year. (Slide 9) The key reasons cited for not internationalising are the risks and uncertainties involved in overseas expansions (23%), insufficient time and human resources (23%) and lack of knowledge about overseas markets (20%).

Read the full report here.