CEOs are becoming 'more confident' with the dynamic of constant uncertainty, says KPMG U.S. CEO

Core Insights - A recent KPMG survey indicates that 89% of CEOs believe tariffs will significantly impact their businesses over the next three years, with 86% planning to raise prices to offset these costs [1][4] - The survey reflects ongoing concerns about supply chain issues, with CEOs prioritizing cost management and pricing strategies as they navigate these challenges [2][3][4] Supply Chain and Pricing Strategies - Supply chain remains a top concern for CEOs, with many indicating that raising prices is a last resort after exploring other cost-cutting measures [4][5] - CEOs are actively managing supplier relationships and seeking immediate cost reductions before considering price increases [4][6] Economic Confidence and M&A Activity - 86% of CEOs express confidence in the growth prospects of the country, and 84% are optimistic about their own companies, leading to increased M&A activity, with over half planning to engage in some form of M&A in the coming years [7][8] - The current M&A landscape is characterized by larger transactions rather than middle-market deals, reflecting a growing confidence among CEOs despite ongoing uncertainties [8] AI Investments - A significant shift has occurred in CEO attitudes towards AI, with a majority now prioritizing investments in AI technologies, compared to only 20% a year ago [10][11] - CEOs are focused on leveraging AI for efficiency improvements and product design, indicating a strong belief in the growth opportunities presented by AI investments [11][12]