From Shock to Strategy 2025

Eight driving forces are shaping future value chain configurations FIGURE 1 Sour ce: World Economic Forum Uncertainties Driving for ce Consumer behaviour and expectations Climate disruption— Shifting pr eferences and expectations — Growing pr eference for durable, sustainable and repairable pr oducts — Decreasing consumer attention spans in pur chasing decisions — Disruptions to value chains caused by extr eme weather events — Climate-r elated risks thr eaten facilities and physical assets — Growing implementation of climate and sustainability r egulations Global r elations and trade— Shift towar ds regionalized supply and pr oduction networks — Rising trade and investment restrictions acr oss markets — Unpr edictable changes in policies, tarif fs and r egulations Regulatory complexity— Complex and fragmented r egulatory landscape acr oss geographical and industrial boundaries — Limited support for ef fective implementation — Unpr edictable investments driven by regulatory changesUncertainties Driving for ce Technology evolution Cybersecurity— Rapid dif fusion of new technologies — Unequal access to, and adoption of, technology acr oss r egions — Widening gap in technological education and workfor ce skills — Limited visibility and awar eness of cybersecurity thr eats — Cyberattacks incr easingly disrupt supply chain operations — Ongoing shortage of skilled cybersecurity pr ofessionals Workfor ce and skills— Emerging tech skills r equir ements — Evolving flexibility and adaptability capability needs — Geographical availability of workfor ce and skills Social equity— Uneven social and economic development acr oss r egions — Persistent digital divide with unequal access to emerging technologies — Shifting labour market dynamics driven by automation and globalization From Shock to Strategy: Building Value Chains for the Next 30 Years 7