Digitalisation and Artificial Intelligence regarded as essential drivers of economic success
From the perspective of trade associations, academia and economic policymakers, the biggest challenge for the Mittelstand enterprises remains ensuring innovation and competitiveness. This is the key finding of a survey conducted by experts at the IfM Bonn between late February and late March 2026. The challenge of maintaining innovation and competitiveness had already ranked first in the previous survey conducted in 2020. At that time, however, businesses were primarily faced with the task of mitigating the economic consequences of the COVID-19 pandemic.
In the current ranking of the most important challenges, reducing bureaucracy and the shortage of skilled labour follow in second and third place, with companies increasingly seeking employees who possess both the relevant qualifications and digital skills.
In contrast, the experts consider challenges such as advancing the green transition, preparing workforces for the future, securing access to finance, supporting business succession and development, and managing international relations to be significantly less relevant than in previous years.
Innovation cycles are becoming ever shorter
"The current survey shows that experts primarily associate the challenge of maintaining innovation and competitiveness with increasing labour productivity and with innovation cycles that are becoming ever shorter and more complex," says Dr Annette Icks, head of the study.
According to respondents from business associations, academia and economic policy, digitalisation and artificial intelligence are regarded as fundamental prerequisites for meeting these challenges. At the same time, however, digital technologies are associated with risks such as cyberattacks and dependence on external providers. In the experts’ view, these risks should remain firmly on the radar of both businesses and policymakers.
Another major challenge is the supply of energy and raw materials. From the perspective of representatives in trade associations, economic policy and academia, SMEs require, above all, planning security regarding energy supply. Since the start of the US-Iran war, more experts in the survey have also rated the challenges of "Using energy efficiently" and "Switching to renewable energies" as significant.
