Global events have an impact on us all through price changes to fuel and energy costs. Inevitably, they also affect the 99.7% of SMBs that make up the UK’s business population and the business prospects of the entire channel. This raises important questions: how should we respond to ongoing uncertainty, continue to meet end-user IT needs and still progress towards our business goals?
► While the impact of global events can’t be ignored, it’s important to keep sight of the bigger picture
► Businesses will continue to focus on strategic goals
► Stable partnerships more important than ever
These big, unavoidable questions were made all the more apparent when three AWS datacentres in the middle east were hit by drone strikes in March. In a follow-up article, CRN asked several industry players active in the region to give their views on the situation. The responses were predictably measured, highlighting the resilience and adaptability of the channel, while also acknowledging that there is disruption and could yet increase.
Here in the UK, the most immediate and obvious impacts have been rising petrol and energy prices and a decision to leave interest rates where they are for now. The impact on consumer confidence is perhaps, yet to be felt, but if consumers are hit, it’s inevitable that companies will also feel a little more constrained. Following on from the Windows 11 boom, we had seen some signs of a revival in the infrastructure market. That recovery now risks stalling, with one report noting that there had been a shift in the mood ‘from cautious optimism to renewed uncertainty’.
However, as this article by Richard Murray, Chief Commercial Officer at SMB business consultancy, Elephants Child, notes, over the past decade UK SMBs have navigated Brexit, Covid-19 and global instability and become leaner, more data-driven and more adaptable. From an optimistic standpoint, this suggests they are well-placed to absorb the latest disruptions too.
The emerging consensus is that, while the economic effects of global events are unavoidable, there is no need for panic. In this article, Patrick Farrell, Group Chief Investment Officer at wealth management firm, Charles Stanley, stated that we need to keep the bigger picture in mind. The global economic backdrop matters more than any single geopolitical event, and he believes growth in Europe will continue to strengthen with central banks taking a measured approach, rather than responding short-term developments.
For now, it seems there is not likely to be any major change in direction by SMBs. They may exercise a little more caution, but years of operating in volatile conditions means uncertainly is now familiar territory. As a result, they are likely to continue pursuing long-term strategic goals.
For Partners, the current situation is one that re-emphasises the importance of working with a reliable and stable supplier like TD SYNNEX, who can continue to support their needs, whatever may be happening on the wider geopolitical front and however spending habits fluctuate.
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