Nvidia, Johnson & Johnson and LVMH among top future-ready companies: Study

Companies that can work across entire business ecosystems – rather than relying on a single product or market – are more likely to thrive amid geopolitical shocks and technological disruptions, said the International Institute for Management Development (IMD).

In its future readiness indicator report released on Tuesday (Nov 25), the Swiss academic institution ranked 117 companies in the technology, pharmaceutical and fashion industries worldwide on their ability to anticipate and adapt to external changes.

Tech giant Nvidia, pharmaceutical leader Johnson & Johnson and luxury powerhouse LVMH topped the list of future-ready firms. 

NAVIGATING A NEW ERA OF UNCERTAINTY

IMD noted that these companies are able to move capital, talent and capabilities across borders and product lines faster than new global constraints can emerge.

The global business playbook is evolving amid growing uncertainty, with success no longer defined by massive spending, it added.

Business leaders must now look beyond immediate market trends to anticipate future shifts and secure long-term profitability.

“Companies that pin everything on one blockbuster are getting crushed,” said Howard Yu, director of the IMD Center for Future Readiness.

“The ones that spread their bets across entire ecosystems aren’t just absorbing the shocks; they're turning volatility into an advantage,” he added.

“The question every CEO should ask is simple: if my core market vanished tomorrow, would the company still stand? For most mid-market companies, the answer is no.”

The IMD report looks at the forces transforming these sectors this year and offers insights into what companies can do.

THRIVING AMID GLOBAL VOLATILITY

It found that Nvidia, Microsoft and Alphabet are among the most future-proof tech companies for their edge across the artificial intelligence supply chain, from chips to user interfaces.

The report also noted that in the pharmaceutical sector, rapid transformation is underway. Competitive advantage now belongs to firms that manage diverse therapeutic platforms, ranging from obesity drugs and antibody-drug conjugates to cell and gene therapies.

Johnson & Johnson, Roche and AstraZeneca led the future readiness chart, thanks to their broad diversification, substantial research and development investments and early AI adoption.

Meanwhile in fashion, platform powerhouses LVMH, Inditex and Hermes stood out with unmatched brand equity, supply chain expertise and strong cash reserves.

Firms that have failed to adapt or remain culturally relevant are struggling to connect with modern consumers, the report found.

Companies that are future-ready “are the ones who systematically derisk market risks”, Yu told CNA’s Asia Now.

He pointed to tech leaders that command every layer of the AI ecosystem, while traditional hardware players struggle to keep pace.

“They are providing almost enterprise solutions end-to-end in order to boost productivity for their customers,” said Yu, adding that having a grand vision alone is no longer enough to stay competitive.

“I think this is why organisations that control the entire tech stack essentially will control the destiny for the industry.”