Economic Risks and Strategies for CPG and Retail Sectors

This report outlines the significant economic risks faced by the consumer packaged goods (CPG) and retail sectors as identified in Protiviti's Executive Perspectives on Top Risks Survey. It details the impact of recent U.S. trade policies, including tariffs, on inflation and consumer spending, which have raised concerns among industry leaders. The document emphasizes the importance of financial mobilization, scenario planning, and cost accounting as critical responses to these challenges. Additionally, it highlights the ongoing supply chain issues exacerbated by the pandemic, including labor shortages and rising costs. The report also discusses the necessity for companies to enhance customer loyalty amidst increasing competition and changing consumer behaviors. It presents key takeaways from the survey, suggesting that robust scenario planning, innovative labor models, and technology modernization are essential for addressing the interconnected risks. The findings underscore the need for a holistic strategy to navigate the complexities of the current economic landscape.