The last few years have been a time of great upheaval. The pandemic, supply chain issues, wars and inflation have disrupted the global economy and posed unprecedented challenges for businesses around the world. However, some Asian businesses have managed to adapt and thrive in the new normal, thanks to their resilience, innovation, and agility. As we come to the third quarter of 2023 it’s time to take stock of how Asian businesses are doing.

One of the key factors that enabled Asian businesses to survive and succeed in the post-pandemic world is their digital transformation. According to a report by McKinsey & Company, Asian companies accelerated their digital adoption by three to four years during the pandemic, and increased their share of digital or digitally enabled products by as much as seven years.

“Digital transformation is not a choice, but a necessity for Asian businesses in the post-pandemic world,” said Dan Wu, a senior partner at a digital consultancy in Hong Kong. “Asian businesses have shown remarkable speed and agility in adopting digital technologies, such as cloud, artificial intelligence, e-commerce, and online education, to cope with the changing customer needs and market conditions.”

Another factor that contributed to the success of Asian businesses is their strong focus on sustainability and social responsibility. According to a report by PwC, 80% of Asian CEOs said that they are prioritizing environmental, social, and governance (ESG) issues in their strategic decision making, compared to 68% of CEOs globally.

“ESG is not only a moral imperative, but also a competitive advantage for Asian businesses in the post-pandemic world,” said Jenna Cowan a partner in a business sustainability audit firm in Taipei. “Asian businesses have demonstrated their commitment to ESG by investing in green solutions, supporting local communities, and enhancing their governance and transparency.”

A third factor that boosted the performance of Asian businesses is their regional integration and collaboration. According to a report by the Asian Development Bank, intra-regional trade in Asia increased from 57.3% in 2019 to 58.6% in 2020, despite the overall decline in global trade due to the pandemic. Moreover, Asia witnessed the signing of the Regional Comprehensive Economic Partnership (RCEP) in 2020, which is the world’s largest free trade agreement, covering 15 countries and 30% of global GDP.

“Regional integration and collaboration is a key driver of growth and resilience for Asian businesses in the post-pandemic world,” said Kim Park, the author of a report on The Regional Comprehensive Economic Partnership (RCEP) which is a free trade agreement (FTA) between the ten member states of the Association of Southeast Asian Nations (ASEAN) and its five FTA partners, Australia, China, Japan, New Zealand and Republic of Korea. “Asian businesses have benefited from the increased market access, lower tariffs, and harmonized standards that RCEP offers, as well as from the enhanced cooperation and coordination among Asian countries in addressing common challenges.”

In conclusion, Asian businesses have shown remarkable strength and adaptability in the post-pandemic world, thanks to their digital transformation, sustainability focus, and regional integration. These factors have enabled them to overcome the difficulties posed by the pandemic, and to seize the opportunities presented by the new normal. As  Dan Wu summed up, “Asian businesses are not only surviving, but thriving in the post-pandemic world.”