A study conducted by online freelance marketplace Fiverr, in collaboration with Censuswide, reveals that 34% of businesses are worried about political instability in France. Some of them even assure that it has a direct impact on their decision-making.
The so-called industries cyclical » are the most affected
On Wednesday December 4, Parliament voted for a motion of censure in order to overthrow the government of Michel Barnier. An initiative which plunged the country into an even more pronounced climate of political instability, after the dissolution of the National Assembly last June.
While the president is still delaying appointing a prime minister, it remains essential to put the situation in perspective. “ Instability in France is still framed by institutions », remarks Franck Thomas, France manager at Fiverr, in an interview with Presse-citron. Other countries are plunged into a much more worrying situation.
Despite everything, the current climate is directly influencing some companies, weighing on their investment and resource management decisions for the year to come. This translates into fiscal measures marked by prudence. “ It’s about knowing how we can anticipate or not, delay decisions, but above all be flexible, both in positive and negative moments. If things go better than expected, you have to be able to seize the opportunity, take the time to move forward. Conversely, in the event of difficulty or prolonged instability which delays projects, the question is to understand how to adapt your activity to remain responsive », Analyzes the expert.
The repercussions are most notable in sectors such as legal and manufacturing, cyclical industries. “ Everything that relates to contractual and legal matters follows a cyclical dynamic: it develops and becomes more complex in proportion to the growth of activity, but quickly becomes vulnerable as soon as an economic accident occurs. », he continues.
Same story for the factory. “ Manufacturing investment is a matter of prospective vision. A committed manufacturer seeks to anticipate stable conditions, both for its inputs and for its production. However, today, the level of uncertainty seems too high to allow firm decisions to be made. », Supports Franck Thomas.
Legislative elections influenced businesses
The study also revealed that the results of the 2024 elections influenced the decisions of 64% of the companies surveyed, and significantly for 22% of them. A figure that rises to 82% for companies operating in the sales, media and marketing sectors. “ As soon as there is uncertainty about purchasing power, sales suffer », Comments the manager.
“ For a company, media investments represent the most flexible item: they can easily be reduced or increased. Their aftereffect makes it possible to maintain a certain visibility even after a cut, without significant immediate impact on notoriety. What’s more, in periods of staggered investment and without new product releases, the company naturally has fewer communications to produce. “, he argues.
This is all the more relevant for the automobile industry, the industry being a major buyer of such supports. In Europe, it is going through a somewhat turbulent period.
The climate is also difficult for startups
However, certain sectors are spared, such as software development. These services promise companies decisive productivity gains, allowing them to continue to grow even in a sluggish or slightly declining economic environment. By offering solutions that optimize performance and reduce costs, these services become strategic allies for firms seeking to maintain their competitiveness.
However, certain startups are also affected by the situation, particularly those looking for funds, with uncertainties surrounding the 2025 finance law only making this dynamic worse.
Two strategies then present themselves to them. “ The first consists of making your structure more flexible before being confronted with difficulties: using freelancers, building up an adaptable cash flow allowing you to deploy or not certain resources depending on the circumstances. “, the objective is to give ourselves the means to react quickly without compromising the overall stability of the company, elaborates Franck Thomas, before continuing, ” the second approach aims to develop capacities for absorbing variations, whether positive or negative “.
Rising energy costs prove more influential
But if economic instability constitutes a brake for certain companies, other factors, even more profound, come into play. Thus, inflation remains the primary subject of concern for 52% of companies, according to the study, while 36% of respondents express fears about the overall economic situation. Rising energy costs represent “ a much higher multiplier than political instability », Estimates the specialist. It even plays a determining role in the loss of competitiveness of European industry.
Overall, 50% of companies expect business growth in 2025, but only 12% of respondents expect a significant increase. It is the finance and technology sectors, traditionally resilient, which show the most optimistic forecasts in terms of profitability.
