The CEO’s Playbook For Growth In An Uncertain Economy
April 29, 2025
Inflation has been at bay for the past couple years and so, price increases have been more routine than the levels we once saw in 2021 and 2022. Could tariffs change that? As trade becomes more complicated and regulatory compliance becomes more convoluted, companies may pass off these extra costs to the consumer. That is, at least, according to our most recent polling in March.
When polled in January, before the inauguration, while hopes were soaring high about a pro-business administration who would cut taxes and remove regulations to ease doing business, 84 percent of manufacturing companies were planning to or had increased prices, while 71 percent of companies in other industries did the same. On a more granular level, 32 percent of manufacturers each were electing to raise prices under 2.5 percent or between 2.5 and 4.9 percent.
When polled again at the start of March, right as the tariffs began to take hold, the proportion of companies in both manufacturing and other industries who elected to increase prices climbed to 91 percent (from 84 percent in January) and 76 percent (from 71 percent in January).
When looking at the proportion of companies who said they would increase prices at a rate of at least 7.5 percent, those jumped even more. In manufacturing in January, 0 percent of companies surveyed said they were increasing prices at a rate above 7.5 percent, but in March, that proportion shot up to 14 percent. In other industries, the increase was less drastic, likely due to less disruption from tariffs, from 8 to 12 percent.
In fact, three-quarters of companies in manufacturing reported that their suppliers or venders have imposed or informed them of a price increase for 2025—only 8 percent of manufacturers say that there will be no price increases from their suppliers/vendors. Looking at industries other than manufacturing, the majority also report price increases from their suppliers, at 58 percent.
Pricing increases by manufacturers may become a political minefield for CEOs. Before announcing the 25 percent tariff on all foreign autos and auto parts, President Trump reportedly warned the CEOs of U.S. automakers against raising their prices to cover the costs. “Trump told the executives that the White House would look unfavorably on such a move, leaving some of them rattled and worried they would face punishment if they increased prices,” according to The Wall Street Journal.
You can find a more comprehensive look at pricing throughout the year and additional breakdowns in Chief Executive’s 2024 Financial Performance Benchmarks Report, which offers you key benchmarks updates throughout the year—from revenue and pricing to working capital to profitability to employees staffing and turnover, and so much more.
Check it out at ChiefExecutive.net/BenchmarksReport/
Since 2002, Chief Executive Group has been polling hundreds of U.S. CEOs at organizations of all types and sizes, to compile our CEO Confidence Index data. The Index tracks confidence in current and future business environments, based on CEOs’ observations of various economic and business components. For additional information about the Index and prior months data, visit ChiefExecutive.net/category/CEO-Confidence-Index/
Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.