90% of UK Entrepreneurs Leverage AI, Blockchain and Cloud Computing to Boost Efficiency
May 09 2024 - 4:00AM
Business Wire
New research reveals key drivers and hurdles in UK business
growth strategies in 2024 and beyond:
- 70% of Millennial and Gen Z UK entrepreneurs are eager to start
businesses outside the UK
- Over half of UK entrepreneurs (52%) are using digital platforms
to scale their operations
- 90% are already leveraging AI, blockchain and cloud computing
to enhance operational efficiency
- Almost half (46%) are still grappling with the complexities of
Brexit
Over half of UK business owners and aspiring entrepreneurs (56%)
are setting their sights beyond British shores, driven by the
growth potential and enhanced flexibility offered in other global
markets. This shift, uncovered by new research from Estonia’s
e-Residency programme, signifies a pivot in UK entrepreneurship
towards international markets, diversifying beyond local
dynamics.
The survey of 1,000 UK business owners and aspiring
entrepreneurs explores the rapidly changing entrepreneurial
ecosystem. It underscores the need for new solutions to cut through
bureaucratic red tape, highlighting advanced digital services and
mobility as key drivers for success this year.
Borderless business
As UK businesses navigate the complexities of a globalised
economy, entrepreneurs are adjusting their strategies to tap into
international markets and boost cross-border trade. This proactive
shift is reflected in the attitudes and actions of UK business
owners and aspiring entrepreneurs:
- Generational divide in global ambition: 70% of
Millennial and Gen Z respondents are eager to set up shop abroad –
more than double the rate of Baby Boomers (34%).
- The rise of digital nomadism: Nearly two-thirds (63%) of
respondents are exploring or have adopted a digital nomad
lifestyle, using the latest tech to manage business operations from
anywhere.
- Building worldwide webs: Three in five respondents (60%)
are engaging in global partnerships and collaborations to extend
their reach and drive innovation through diverse insights.
AI takes centre stage, again
UK entrepreneurs are redefining their global strategies by
elevating AI and emerging technologies from handy tools to
transformative assets for business growth. This shift signals an
increasing reliance on innovative digital solutions across the
entrepreneurial landscape:
- Tech takeover: While it’s no surprise that tech-savvy
entrepreneurs are leveraging the likes of blockchain, AI and cloud
computing, what's striking is the scale of adoption – 90% of
respondents are already leveraging these technologies to boost
operational efficiency.
- Generational tech divide: 77% of Millenial and Gen Z
respondents view these technologies as crucial or highly important
to their operations, compared to only 27% of Baby Boomers.
- Digital drives growth: Over half of respondents (52%)
are likely to scale up this year using digital platforms,
highlighting a demand to embrace online tools as a pathway to
expansion.
Next tech wave: Digital identity
Digital identity technologies are gaining traction in today’s
business landscape as awareness of their potential to mitigate the
rising threat of fraud increases. Yet, these tools are not just for
secure identity verification; they empower entrepreneurs to manage
businesses online, perform transactions globally and handle
everything from banking to tax filing, regardless of physical
location. Despite their vast potential, awareness of these
technologies is surprisingly low. This gap underscores a need for
education and reveals an opportunity for those ready to embrace
these solutions:
- Limited awareness: Just 1 in 5 respondents (20%) report
being highly aware of digital identity technology, despite its
potential to enhance security, trust and transparency for
businesses.
- Enhancing operational efficiency: Nonetheless, when
asked to pick its most important benefits, a third of respondents
(33%) highlighted significant efficiency gains as a top advantage.
By simplifying identity verification, these technologies can cut
down on administrative overhead.
- Security as a priority: Similarly, a third of
respondents (33%) believe enhanced data security is a key benefit,
underscoring the role of this tech in safeguarding business and
customer data.
- Key to future expansion: A forward-looking 22% of
respondents already consider these tools as essential for their
global expansion plans within the next year. This more than doubles
to 47% over a ten-year horizon, reflecting a growing consensus on
their importance.
Current state of UK entrepreneurship
Individuals navigating the UK’s entrepreneurial ecosystem, built
for compliance and accountability, recognise this landscape
involves a blend of challenges and rewards. This understanding
fosters a proactive community, eager to tackle obstacles and seize
opportunities for big wins:
- Brexit transition: As the nation continues to adapt to
the post-Brexit environment, almost half of respondents (46%) are
still navigating through the complexities it brings.
- Securing new investments: Despite facing various
challenges, 65% of Gen Z and Millennial respondents have expressed
their eagerness to expand their business either domestically or
internationally this year if they manage to secure new
investments.
- Defying economic pressure: Additionally, 38% of all
respondents are still gearing up for growth this year, despite the
challenges of inflation and rising operational costs.
- Bureaucratic red tape: Taking a deep dive into the
supportiveness of the UK business environment, 31% of respondents
feel the impact of administrative processes, while nearly a quarter
(24%) dedicate 11-20 hours weekly to regulatory adjustments
alone.
- Government support: When asked to choose their top two
priorities for support, financial incentives such as tax reliefs
and grants came out on top; equally critical is the demand for
streamlined business processes, from tax procedures to business
setup.
Liina Vahtras, head of Estonia’s e-Residency programme,
commented: “Entrepreneurs across the globe are navigating a
rapidly evolving landscape. To succeed in today's interconnected
world, businesses must embrace new models of collaboration and
competition, looking beyond local markets to seize global
opportunities. By investing in innovative technologies and
fostering a culture of adaptability, entrepreneurs can reach new
heights, regardless of their location. These strategies are
essential for both emerging and established businesses to thrive in
a global economy.”
About e-Residency
Estonia introduced the world's first e-Residency program at the
end of 2014, designed to give non-residents secure access to its
digital public services. Since its launch, over 113,500 individuals
have obtained e-resident status, and these e-residents have
established more than 30,200 companies within Estonia. The
programme has generated over 213 million euros in direct revenue
for the Estonian state budget from taxes and state fees.
Additionally, it contributes indirect revenue through the growth of
Estonian companies that are part of the e-Residency Marketplace.
These companies offer a range of services including business,
financial, insurance and consulting to e-resident entrepreneurs.
For further details and statistics on Estonian e-Residency, please
visit:
https://www.e-resident.gov.ee/uk-hub-digital-residency-setup/
Methodology
The study was carried out by Censuswide with a participant group
of 1,003 business owners and aspiring entrepreneurs, divided
equally. All participants were aged 18 and older. Data collection
occurred from March 25, 2024, to April 2, 2024. Censuswide adheres
to the standards of the Market Research Society and follows both
the MRS Code of Conduct and ESOMAR principles. Additionally,
Censuswide is a member of the British Polling Council.
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version on businesswire.com: https://www.businesswire.com/news/home/20240509356172/en/
Charlotte Kelly / Mary Taylor 07891 496946 / 07539 366728
eresidency@clarity.global