June 25, 2012 13:23
Business sentiment for the third quarter fell again after a brief rise for the second. The business survey index stood at 88 points for the period of July to September, down 11 points from the second quarter, the Korea Chamber of Commerce and Industry said on Sunday based on a survey of 2,500 manufacturers nationwide.
A reading below 100 means pessimists outnumber optimists.
The BSI dropped for seven consecutive quarters from 128 points for the second quarter of 2010 to 77 for the first quarter this year.
The index for big conglomerates fell 25 points and for exports 15 points, more steeply than for small and medium-sized enterprises down nine points. This suggests that the global recession is affecting export-dependent conglomerates more heavily.
The largest proportion of respondents blamed dwindling consumer confidence caused by factors such as household debt (41.3 percent). Next came more government regulation of pricing policy and labor issues (33.8 percent) and shifts in corporate policies due to the upcoming presidential election (9 percent).
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