Public Policy Changes Delay or Cancel Investments: Study; Concerns Arise Over AI's Impact on the Development of Business Leaders

Estudio de Baker Tilly International revela que el 35% de las empresas ha retrasado o cancelado inversiones por cambios en políticas públicas, mientras que el avance de la IA y la falta de talento generan preocupación sobre el desarrollo del futuro liderazgo empresarial.

In addition to the challenges posed by the adoption of artificial intelligence (AI) and automation, particularly for mid-market companies, legal certainty is crucial for investment projects, according to a report published by Baker Tilly International.

The report was developed based on planning exercises and a survey of 1,500 CEOs and business executives from companies with revenues between $50 million and $1 billion across nine global markets.

It revealed that 35% of organizations reported having delayed or canceled major investments due to shifts in public policy.

The findings show that while organizations are accelerating their investments in AI and digital transformation, there is growing concern regarding the impact these technologies could have on the development of future business leaders.

The study, The Mid-Market Maze, identifies the lack of talent as the primary barrier to growth for this sector leading up to 2035. Sixty percent of the surveyed executives highlighted this factor as the main constraint for their organizations.

More than half of the participants (57%) anticipate a potential leadership crisis stemming from the transformation of entry-level and mid-level positions—roles that have historically served to cultivate talent within organizations.

The analysis also identifies a scenario termed The Compliance Crunch, characterized by a high-pressure regulatory environment and tighter access to resources such as capital and specialized talent.

In this regard, Manuel Aguilar, Managing Partner of Baker Tilly in Mexico, stated that “mid-market organizations are struggling to win the battle for talent: many of the strongest profiles are drawn to large corporations or agile, well-funded startups that can move faster and make larger investments. If they want to internally develop the next generation of leaders, they must offer clear career paths, flexible work arrangements, and accelerated training and upskilling processes, starting by strengthening business acumen in junior talent from an early stage.”

Regulatory Pressure, Economic Uncertainty, and Accelerated Technological Transformation in Mexico

Regarding the Mexican context, Manuel Aguilar noted that “we are experiencing a particularly complex combination: regulatory pressure, economic uncertainty, and accelerated technological transformation. For many mid-sized companies, the challenge is to achieve structured growth with talent and adaptability.”

The report concludes that although mid-sized companies retain advantages such as greater agility and less bureaucracy, developing leadership capabilities, resilience, and strategic decision-making will be critical to navigating an increasingly complex environment.