英文首席執(zhí)行官如何將企業(yè)風(fēng)險(xiǎn)建設(shè)轉(zhuǎn)變?yōu)槌笮驮鲩L(zhǎng)

Leap

byMcsey

HowCEOsareturning

corporateventurebuildingintooutsizegrowth

Companiesarecreatingmeaningfulgrowthbydevelopingnewventures.Thosewiththemostmaturecapabilitiesaregrowingquicklyandcanshowthewayforcompaniesthatarejustbeginning.

ThisarticleisacollaborativeeffortbyBelkisVasquez-McCall,DanielAminetzah,MarkusBerger-deLeón,andPaulJenkins,withShaunCollins,representingviewsfromLeapbyMcKinseyandMcKinseyDigital.

October2024

Amidgeopoliticaltensions,easinginflationindevelopedeconomies,andexpectedinterestratecutsinsomeoftheworld’slargesteconomies,1halfofCEOssurveyedinthefifthannualMcKinseyGlobalSurveyonnew-venturebuildingviewthedevelopmentofnewbusiness

venturesasoneoftheirtopthreestrategicpriorities.

Intrackingthesentimentandpriorityofnew-venturebuildinginthepasthalf-decadeintheonlylongitudinalsurveyofitskind,thisresearchhasfoundsurprisingresilienceintheprioritization

ofnew-venturebuilding,inspiteoftheunprecedenteddisruptionoftheCOVID-19pandemic

andrapidlytighteningcapitalconditions.Goingforward,weanticipatethatmoreandmore

companieswillpursuegrowthanddiversificationthroughventurebuilding,beitnewverticalsorbusinessesenabledbygenerativeAI(genAI),inparticularoncemonetaryconditionsease.

Thelatestsurveyofmorethan1,100businessleadersfindsthatcompaniesthatprioritizeventurebuildingaredoingsoforgrowth(seesidebar,“Abouttheresearch”).Whilecreatingnewventureshasalwaysbeenaneffectivewaytoacceleraterevenuegrowth,today’stechnologyinnovationshaveheightenedtheopportunity—andthepressure—todoso.Thetypesofnewventures

receivingthemostinterestvarybyindustry,and60percentofrespondentsareeagertopursuegen-AI-enabledventuresinthenextfiveyears.Thisarticlereportssuchfindingsandexploresthetypesofnewgen-AI-poweredventuresthatbusinessleadersareexpectingtobuild.

Theprimaryconstraintoncompaniesthathaven’tbeenabletoprioritizeventurebuildingis

capitalavailability,thoughmanycompanieshavefoundsolutionstothischallenge.Thosethathavearereapingthebenefits:thesurveyfindingssuggestthatcompaniesinvesting20percent

1SvenSmit,JeffreyCondon,andKrzysztofKwiatkowski,“GlobalEconomicsIntelligenceexecutivesummary,July2024,”McKinsey,August23,2024.

Abouttheresearch

Forthepastfiveyears,resultsfrom

McKinseyGlobalSurveysoncorpo-

rateventurebuilding—alsoknownas

“new-businessbuilding,”whichwasthe

termusedinthesurvey—havecreated

theonlydatasetofitskind.Theresearchtracksventure-buildingactivityand

priorityglobally.Italsoinvestigatesthefactorsthatcontributetosuccesswithnewventures.

“New-venturebuilding”referstothe

creationofnewrevenuesthroughnewproducts,services,orbusinessesfor

whichnewcapabilitiesarerequiredandincludesbothentirebuild-from-scratch

effortsandventurebuildingsupportedbyacquisition.Venturebuildingcancomeindifferentforms,includinganewdelivery

modelforanexistingbusiness,suchasa

financial-servicescompanymovingintoadirect-to-consumerchannelviaane-com-merceplatform;newproductlinesfor

existingcustomers,suchasasmartphoneproducerofferingaudioaccessories;newproductsfornewcustomers,suchasa

textileproducerstartingaclothingbrand;andacquiringandscalingabusinesswithanovelproposition,suchasanautomotivecompanypurchasingtechnologyorassetstobuildanelectric-vehiclebrand.

Thisyear’ssurveywasinthefieldfrom

May21toJuly2,2024,andgarnered

responsesfrom1,176seniormanagers

andC-suiteexecutivesrepresentingthe

fullrangeofregions,industries,companysizes,andfunctionalspecialties.Toadjustfordifferencesinresponserates,the

dataareweightedbythecontributionof

eachrespondent’snationtoglobalGDP.

Alldatahavebeencalculatedafterremov-ingtheshareofrespondentsselecting

“don’tknow.”

HowCEOsareturningcorporateventurebuildingintooutsizegrowth2

oftheirgrowthcapitalintobuildingentirelynewventuresachieverevenuegrowththat’stwopercentagepointshigherthanthatofcompaniesthatdonotinvestinnew-venturebuilding.

Businessleadersareseeingtheemergenceofanexpertclassofventurebuilders,withmature

supportstructuresandcapabilitiesthatassistthemwithserialventurebuilding.Theyhave

differentapproachesthanothercompaniestofunding,setup,leadership,talent,andcapability

building.Andtheyseeorganicgrowththat’s2.8percentagepointshigher,aswellastwicethe

successrate(therateofmeetingorexceedingexpectationsforscaleandgrowth),compared

withcompaniesthatrespondentsdeemnovices(thecompaniesthatrespondentssayhave

limitedcapabilitiesorstructurestosupportventurebuilding).Theevolutionoftheseexpertsmayinpartexplainthefindingthatthelargestnewventuresbuiltbyincumbentcompaniesinthepastdecadehaveachieved1.5timestherevenueofthelargeststart-ups.

Corporateventurebuildingcontinuestoshowresilienceinthefaceofcapitalconstraints

JustoverhalfofsurveyedCEOsconsiderventurebuildingoneoftheirtopthreestrategic

priorities,inlinewiththe2023findings.Whileyearsofrisinginterestrates2haveledtoasmallershareofCEOsprioritizingventurebuildingthanseenduringtheearlyyearsoftheCOVID-19

pandemic,itsprioritizationisstillmorecommonthanitwasbeforethepandemic(Exhibit1).

2Thesecuredovernightfinancingrate(SOFR)wasusedfollowingthetransitionfromthegloballyacceptedLondonInterbankofferedrate(LIBOR)attheendof2021.SOFRiscompliantwithinternationalbestpractices.

Exhibit1

CEOs’prioritizationofnew-venturebuildingremainsinlinewiththeperiodbeforetheCOVID-19pandemic,despitetherisingcostofcapital.

70

0

7

6

5

4

3

2

1

Prepandemic

Pandemic

Current

60

50

40

30

20

10

0

ShareofCEOswhosaynew-venturebuildingisatop3strategicpriority,%1

SecuredOvernightFinancingRate(SOFR),%2

Prepandemic

Pandemic

Current

2017–193202020212022202320242017–1920202021202220232024

1Figureswerecalculatedafterremovingrespondentswhosaid“don’tknow.”

2SOFRwastakenasanaverageforeachperiod,with2017–2019startinginApril2018(whenSOFRwas?rstpublished).

3Dataarefrom2020survey,whichasked,“From2017to2019,howimportantwasbuildingnewbusinessescomparedwithotherstrategicprioritiesatyourorganization?”

Source:FRED,FederalReserveBankofSt.Louis,accessedSept2024;McKinseyGlobalSurveysonnew-venturebuilding,2020,2021,2022,2023,and2024

McKinsey&Company

HowCEOsareturningcorporateventurebuildingintooutsizegrowth3

Respondentswhosaytheircompanieshaveexperiencedadeclineinprioritizingventure

buildingmostoftenpointtocapitalconstraintsastheprimaryreason,whilethoseprioritizingventurebuildingarelargelydrivenbyadesireforgrowth(Exhibit2).Givenpredictionsthat

interestrateswilltaper—andgiventheresilienceofinterestinventurebuilding—it’seasytoimagineapotentialuptickinthecreationofnewventuresinthenearterm.

Exhibit2

Limitedcapitalisthepredominantreasonwhysomecompaniesare

decreasingventurebuilding;othersareprioritizingittopursuegrowth.

Factorsthatmotivatedrespondents’organizationstodecreaseprioritizationofnew-venturebuildinginpast12months,%ofrespondentsreportingadecreaseinprioritization(n=128)1

36

Limitedavailability

ofcapitalfornew-

businessbuildingdue

toaworsening

fundingenvironment

24

Limitedavailabilityof

capitalfornew-

businessbuildingdue

toreducedmarginsin

corebusiness

21

Lackofdisruptivetech

advancementsor

capabilitiestosupport

newbusinessmodels

21

Reducedprioritizationofgrowth

21

Increaseincustomerdemandforcurrentproductsorservices

Factorsthatmotivatedrespondents’organizationstoincreaseprioritizationofnew-venturebuildinginpast12months,%ofrespondentsreportinganincreaseinprioritization(n=616)1

50

Increasedprioritizationofgrowth

43

Shiftincustomerdemand

29

Emergenceofdisruptivetech

25

Freed-upcapitalfor

newareasdueto

improvedmarginsin

corebusiness

21

Recoveryfrom

downturnorchallenges

speci?ctocore

organization’sindustry

1Figureswerecalculatedafterremovingrespondentswhosaid“don’tknow.”Respondentswhosaid“other”or“noneoftheabove”arenotshown.Respondentswereaskedtoselectallanswersthatapplied.

Source:McKinseyGlobalSurveyonnew-venturebuilding,1,176seniormanagersandC-suiteexecutives,May21–July2,2024

McKinsey&Company

HowCEOsareturningcorporateventurebuildingintooutsizegrowth4

Lookingahead,mostsurveyedCEOsexpecttodevelopnewventuresinthecomingyear:abouttwo-thirdsexpecttobuildnewventures—morethantheshareexpectingstrategicmovessuchasjointventures,M&A,andorganizationaltransformations(Exhibit3).CEOsare1.3timesmorelikelythanotherbusinessleaderstoexpecttheirorganizationstobuildnewventuresintheyearahead.Whilemorethanhalfofotherbusinessleadersseeventurebuildingaslikely,theymoreoftenexpecttoseeorganizationaltransformations.

ThatdifferencesuggeststhatCEOsmayneedtodomoreworktoalignotherleaders

aroundtheirpriorities.Otherbusinessleaders,CFOsincluded,tendtobemorefocusedon

organizationalrestructuring,possiblyreflectingtoday’seconomicpressures.Creatingspaceonleaders’agendasforventurebuildingandcommunicatingthatit’sagrowthprioritywillbeimportantforCEOs.

Exhibit3

New-venturebuildingisthestrategicmoveexpectedmostoftenbyCEOs,thoughthere’svarianceamongCEOsandotherbusinessleaders.

Venturebuilding2Organizationaltransformation

Strategicdiversi?cationJointventureorstrategicalliance

M&A

Enterprise-widedigitaltransformationortransformationofcoretechstack

Signi?cantlyacceleratedinvestmentingreentech,renewable-energysources,orothercarbon-reductioninitiatives

RebrandingofentireorganizationorcorebusinessesSigni?cantlyreallocatedresourcesacrossorganizationDivestituresorcarve-outs

Corporateventurecapitalactivities

Shareofrespondentswhoexpecttheirorganizationtomakegivenstrategicmoveinnext12months,%1

.CEOs

Otherbusinessleaders

010203040506070

1Respondentswhoanswered“noneoftheabove”arenotshown.ForCEOs,n=177.Forotherbusinessleaders,n=991.

2Surveyaskedabout“businessbuilding(ie,creationofnewrevenuesthroughnewproducts,services,orbusinessesthatrequirenewcapabilities).”Source:McKinseyGlobalSurveyonnew-venturebuilding,1,176seniormanagersandC-suiteexecutives,May21–July2,2024

McKinsey&Company

HowCEOsareturningcorporateventurebuildingintooutsizegrowth5

McKinseycommentary

BelkisVasquez-McCall

Partner

Evenwithrestrictionsincapitalavailabilityandhigherinterestrates,thereisagreater

awarenessof,andcommitmentto,venturebuilding.Thisisn’tseenjustwithclassicaltech

companies;thisfocusisspreadingtomanyothercompaniesaswell.Weknowthatoneofthetopthreeprioritiesforcompaniesisrewiringhowtheywork,andcorporateventurebuildingisanintegralpartofthatstrategy.

Onethingthatwe’renoticingisthatwiththedifficultiesinaccessingcapital,somecompaniesareturningtoexternalcapital.NoteveryCEOwillwanttogetintothatmodel,butexternal

fundingsources—eitherventurecapitalorprivateequityorganizations—canprovidenot

justcapitalbutaccesstotalentandventure-buildingexperience.Forthismodeltowork,

it’scrucialtohaveaclearsetofexpectationswithexternalpartners,withalineofsightintofunding(overathree-yearperiod,forexample),andhowthenewventuremightbeboughtorspunoff.

Alittleinvestmentcanleadtobigbusinesses

Atcompaniesthatareincreasinglyprioritizingnew-venturebuilding,respondentsmostoftensay

theeffortsaredrivenbyadesireforgrowth—andforgoodreason.Ourlatestfindingssuggestthatcompaniesthatinvest20percentormoreoftheirgrowthcapitalintobuildingentirelynewventureshaverevenuegrowththat’stwopercentagepointshigherthanthatofthosethatdon’tinvestanything.3Thisbecomesevenmorepronouncedwithlargerorganizations:venture-

buildingcompaniesof$1billionormoreinannualrevenuesthatinvestatthatlevelgarner

revenuegrowththat’s2.5percentagepointshigherthanthatofthoseinvestingnothing.Thisupliftcouldconstitutenearly50percentinadditionalgrowthfororganizationswith$1billionormoreinannualrevenues,whosemeangrowthratesgloballyare5.2percent—andanevengreaterincrementalupliftiflookingatthemediangrowthrate,whichis3.7percent.4

Thesurveyfindingssuggestthatinvesting20percentofgrowthcapitalmightbethesweetspot

forcapturingvalue.Respondentsreportingsmallerinvestmentsseesmallerreturns,whereasthosedevotinglargeramountstoventurebuildingdon’treportmeaningfullymoregrowth

(Exhibit4).Yetjust38percentofrespondentsareinvestingthatmuchoftheirgrowthcapital,suggestingthatnearlytwointhreeareleavingpotentialvalueonthetable.

3Surveyrespondentswereaskedabouttheirorganizations’growthcapitalallocationforentirelynewbusinessesandrate

oforganicrevenuegrowthinthepast12monthscomparedwiththatoftheirprimarycompetitors.Theanswerchoicesweremorethan10percentbelowtheindustryaverage,4to10percentbelowtheindustryaverage,1to3percentbelowthe

industryaverage,thesameastheindustryaverage,1to3percentabovetheindustryaverage,4to10percentabovethe

industryaverage,andmorethan10percentabovetheindustryaverage.Midpointswereusedforeachoftherevenuegrowthranges,with–15percentusedforthebottomgroupand15percentforthetopgroup.

4Theaveragegrowthrateisfrom2022–23andisbasedonallprivatesectorcompanieswithannualrevenuesover$1billion,usingdatafromS&PCapitalIQ,S&PGlobal,accessedSeptember2024.

HowCEOsareturningcorporateventurebuildingintooutsizegrowth6

Exhibit4

Survey?ndingssuggestthatinvestingatleast20percentofgrowthcapitalinnew-venturebuildingyieldsmeaningfulrewards.

Shareofgrowthcapitalinvestedinnew-venturebuilding,1%

2.3

1.9

2.0

1.3

Organicrevenuegrowthincompaniesinvestinginnew-venturebuildingoverthosenotinvesting,percentage-pointdiference

≥40

30

20

10

1Forrespondentsreporting10%ofgrowthcapitalinvestedinnew-businessbuilding,n=183;for20%,n=160;for30%,n=63;andfor≥40%,n=60.Source:McKinseyGlobalSurveyonnew-venturebuilding,1,176seniormanagersandC-suiteexecutives,May21–July2,2024

McKinsey&Company

McKinseycommentary

PaulJenkins

Seniorpartner

Sometimeswhenyoureadreports,youreyescanstarttoglazeoverwithallthevariousstats,soIwanttocallattentiontosomethingstunning.Ourresearchshowsthatinvestingonlyabout20percentofyourgrowthcapitalintoventurebuildingisenoughtogeneratea2percentliftingrowthperannum.Formostcompanies,that’satrulyastoundingROI.

That20percentisparticularlyinteresting,becauseit’ssomethingofasweetspotwhenit

comestogettingthegreatestROI.Investless,andyoudon’tgetacorrespondinglylowerROIbut,infact,muchlessROI.Bythesametoken,ifyouinvestmore,youdon’tgetgreaterROI.Therateofreturnstartstopeteroutafter20percent.

We’replanningondoingmoreanalysistobetterunderstandwhythat’sthecase.Butthis

insightofa20percentsweetspotprovidesacompellingcounterpointtoanissueweoftensee,whichisthatsomecompaniesapproachbuildinganewventureasabitofahedgeorasideprojectanddon’tinvestenoughinit.That’sasurefirerecipeforfailure.

HowCEOsareturningcorporateventurebuildingintooutsizegrowth7

Thetenlargestnewventuresbuilt

byestablishedcompaniesinthepastdecadehaveaveraged1.5timesmorerevenuethanthatofthelargeststart-upslaunchedinthesameperiod.

Thesurveyalsoexploredwhatshareofinvestmentwouldbeneededfornewventuresto

delivertheshareoftotalrevenuesdesiredbytheirparentorganizations’leaders.Respondentsonaverageexpecttoachieve24percentoftheirorganizations’revenuesfromnewventuresinfiveyears’time.Toachievethisshare,manycompanieswillneedtomeaningfullyincreasetheirlevelofinvestment.Infact,thefindingssuggestthatthosethatachievethissharehaveinvested2.4timestheaverageofthosethataretargetingthatsharebuthaven’tachievedit.5

Indeed,incumbentshaveprovedtheirimpressiveabilitytobuildhigh-revenueventures.

Additionalresearchfindsthatthetenlargestnewventuresbuiltbyestablishedcompaniesinthepastdecadehaveaveraged1.5timesmorerevenuethanthatofthelargeststart-upslaunched

inthesameperiod.6Thesenewventurescanbenefitfromtheircoreorganizations’accesstocustomers,brand,andexpertise,oftenenablingthemtoscalerevenuesquickly.

What’smore,venturebuildingcanaffectmorethanjustrevenuesforanorganization.Surveyrespondentsreportthatnewventureslaunchedbytheircompaniesinthepastfiveyearshavegenerated16percentoftheirenterprisevalue,whilerevenuecreatedbynew-venturebuildingwas13percent.7

Venturebuildingstartswithuncoveringhiddentreasureswithinanorganization

Thelatestsurveyresultsshowthat,formostcompanies,opportunityisripetobuildnew

venturesfromexistingassets.Nearlynineintensurveyedbusinessleaderssaytheirorganizationshaveatleastoneassetwithunrealizedcommercialpotential.Mostoften,theyseeopportunities

withdataandwithintellectualpropertyornoveltechnologies,thoughthepotentialvariesbyindustry(Exhibit5).

5Companiesthatrespondentssaywillachievetheaveragerevenuesharetargetof24percentareinvestinganaverageofabout28percentofgrowthcapitalintobusinessbuilding,whilethosethataren’tmeetingthattargetareinvestingan

averageofabout12percent.

6Theseanalyseslookedattheaveragerevenuein2023forthetoptenlargeststart-upsandtoptennewventuresfoundedbyincumbentcompaniesinthepastdecadeusingdatafromCrunchbase;PitchBook;S&PCapitalIQ,S&PGlobal;andYCombinator;allaccessedSeptember2024.

7Surveyrespondentsselectedtheshareoftotalenterprise-widerevenuethatnewbusinessescontributetotheircompaniesandtheshareofenterprise-widevalue(totalvalueoforganization)thatcanbeattributedtonewbusinessesfromthe

followingoptions:0percent,1to3percent,4to10percent,11to20percent,21to30percent,31to40percent,41to

50percent,51to60percent,61to70percent,71to80percent,81to90percent,91to100percent,andabove100percent.Midpointswereusedforeachrange,with110percentbeingusedforthetopcategory.Weightedaverageswereusedto

calculatetheenterprise-widerevenueandvaluecomingfromnew-venturebuilding.

HowCEOsareturningcorporateventurebuildingintooutsizegrowth8

Exhibit5

Acrossindustries,mostrespondentsindicatethattheirorganizationshaveatleastoneassetwithunderrealizedpotential.

Shareofrespondentswhosaytheirorganizationpossessesgivenassetwithunrealizedcommercialpotential,%1

Advancedindustries

Consumer

goodsand

retail

Energy

and

materials

Financial

servicesHealthcare

Pharma

andmedical

40

products

Tech,

media,and

telecom

Travel,

logistics,and

infrastructureTotal

31

30

28

24

17

16

Dataassetsthatcouldbemonetized

Intellectualproperty ornoveltecharoundwhichnewbusinessescouldbebuilt

Subscalenewbusinessesthatcould becommerciallyaccelerated

Productsdeveloped forinternalusesthatcouldbesoldexternally

Internalcapabilitiesthatcouldbesoldexternally

12

39

36

33

28

27

24

19

17

15

41

33

30

30

30

27

23

21

15

36

43

35

27

27

40

25

23

15

26

27

25

25

24

24

23

27

17

17

78

84

85

80

94

93

87

84

86

Shareofrespondentsreporting≥1asset withunrealizedpotential,2%

Note:Figureswerecalculatedafterremovingrespondentswhosaid“don’tknow.”

1Forrespondentsinadvancedindustries(advancedelectronics,aerospaceanddefense,automotiveandassembly,andsemiconductors),n=108;consumer

goodsandretail,n=90;energyandmaterials,n=129;?nancialservices,n=150;healthcare,n=113;pharmaandmedicalproducts,n=102;tech,media,andtelecom,n=175;andtravel,logistics,andinfrastructure,n=145.

2Calculatedbasedoninverseofrespondentswhoselected“noneoftheabove.”

Source:McKinseyGlobalSurveyonnew-venturebuilding,1,176seniormanagersandC-suiteexecutives,May21–July2,2024

McKinsey&Company

Forexample,respondentsinhealthcareandconsumergoodsandretailmostoftensaytheir

companieshaveproductsdevelopedforinternalusesthatcouldbesoldexternally,while

respondentsworkinginfinancialservicespointtodataassetsthatcouldbemonetized.In

advancedindustries8andtechnology,media,andtelecommunications,respondentsoftensaytheircompanieshaveintellectualpropertyornoveltechnologiesaroundwhichnewventurescouldbebuilt.Thisfindingprovidesastartingpointforwheretolooktoacceleratevaluefromunrealizedpotential.

8Advancedindustriesincludesrespondentsworkinginadvancedelectronics,aerospaceanddefense,automotiveandassembly,andsemiconductors.

HowCEOsareturningcorporateventurebuildingintooutsizegrowth9

McKinseycommentary

DanielAminetzah

Seniorpartner

Ifyougoacrossallthecompaniesindifferentsectorsandgeographies,you’llfindthat

venturebuildingishighlyrelevant.Thisunderscorestherealitythatinnovationisn’tjustthearenaofbigtechandAIstart-ups,especiallygiventhesurgeintransitionsandchangethatareredefiningvaluepoolsandtherolesthattraditionalcompaniescanplay.

Onethingthat’sdrivingthischangeistherangeofthenewtechnologiesemergingand

howfastthey’reredefiningbarrierstoentryforcompanies.Eventhosecompaniesthatareenjoyingsuccessfromastrongpositioninthemarket—whetherfromaproductoraccesstocustomers—canseethingsturnveryquickly.Fewcompaniesshouldfeelcomfortablewiththeircurrentadvantages.

Ontheothersideofthecoin,theseverytechnologiesandforcesofdisruptioncanallow

incumbentcompaniesthechancetobringtheirassetsintonewmarketsandterritories

thathaven’thistoricallybeenthere.IfaCEOisn’tmakingaconcertedeffortatbuildingnewventures,they’retakingarealriskintheircompany’slegacyandrelevance.

GettingtothenecessarylevelofcommitmentrequiresCEOstobeabletoreimaginetheirrolesandwheretheircompaniesmightbe.Anditrequiresanabilitytounderstandtheartofthepossible—hownewtechnologies,trends,collaborations,andcircumstancesopennewopportunities.

Whenbuildingnewventures,capitalizeondistinctiveadvantages

Organizationsbenefitwhentheycapitalizeontheirdistinctiveadvantagesandscalethemas

newgrowthopportunities.Venturebuildingrequiresrecognizingthoseadvantagesandstayingtruetothem.In2023,wesawthatdata,analytics,andAIplatformswerethetypeofnewventurethatthelargestshareofrespondentsexpectedtobuildinthenextfiveyears.Thelatestsurveyresultsfindthat,relativeto2023,companiesaremorelikelytoplantobuilddata,analytics,andAIplatforms.However,opportunitiesvarybyindustry(Exhibit6).

Respondentsworkinginadvancedindustriessuchasautomotive,aerospace,and

semiconductorsandinpharmaceuticalsandmedicalproductsmostoftenseeopportunityin

physicalproducts.Thoseinconsumergoodsandretail,ontheotherhand,mostoftenexpectto

builddigitalretailventures.Acrossindustriessuchastechnology,media,andtelecommunication

andtravel,transportation,andlogistics,businessleaderspointtodata,analytics,andAIplatformsmostoftenasanareaforbuildingnewventures.

Overall,nearlyhalfofrespondentswhoexpecttobuildnewventurespredictthattheywillcreatesuchabusinessinthenextfiveyears,up11percentagepointsfromthe2023results.Examplesofnewventuresthatcouldbebuiltinthisspaceareamedical-devicecompanybuildingsoftwarethatusesitsdatatoprovidetreatment-relatedinsightstocliniciansandacloud-hostingprovidercreatinganapplicationthatusesgenAItohelpinsurancecompaniesidentifysuspiciousclaims.

Responsesfromleadersintravel,logistics,andinfrastructureandinhealthcareshowthegreatestuptickininterestindata-andAI-enabledventuressince2023.

HowCEOsareturningcorporateventurebuildingintooutsizegrowth10

Exhibit6

Businessleadersexpecttobuildnewventuresinareaswiththemostpotentialvalue—andmostseeAIasanopportunity.

Typesofnewventuresexpectedtobebuiltbyrespondents’organizationsinnext5years,byindustry,%ofrespondentswhoexpecttheirorganizationtobuildventuresinnext5years1

Consumer

Energy

Pharma

Tech,

Travel,

Advanced

goodsand

and

Financial

andmedical

media,and

logistics,and

industries

retail

materials

servicesHealthcare

products

telecom

infrastructure

Total

Data,analytics,andAIplatforms

Everythingasaservice2

Physicalproducts(includinghardware)

Environmental- sustainability-focusedventures

Ecosystemormarketplace

Digitalretail

Connectedproducts(ie,InternetofThings)

Otherservices (eg,remotehealthcaredelivery)

52

26

65

45

24

21

42

6

16

7

39

32

28

44

11

7

26

12

52

65

22

12

17

7

41

27

3

27

26

34

23

18

48

28

17

14

12

21

20

22

45

7

46

11

15

19

25

14

71

57

15

17

31

21

31

11

52

19

24

33

26

25

18

15

48

25

29

31

27

25

23

13

1Respondentswereabletomakemultipleselections.Figureswerecalculatedafterremovingrespondents