If 2024 is the year when AI went from buzzwords to business orders, 2025 will be a year of careful optimism. Resilience-centric stage and technology drive smarter growth strategies.
The CEO looks ahead, balances bold moves with practical strategies and navigates economic ambiguity – inflation, shift regulations, workforce challenges, and geopolitical tensions.
But, uncertainty is looming, but growth is still on the table for leaders who know where to look and how to adapt.
For CEOs ready to expand in this volatile environment, the right place is not just a background, but a strategic advantage. Business-friendly policies, access to top-notch talent and strong infrastructure can make the difference between shuffling and prosperity.
Join Richmond, Virginia. It's a rise in hubs of high-growth companies looking for a combination of stability, innovation, and affordability and accessibility.
What keeps you CEO at night?
Heading towards 2025, CEOs are fighting economic uncertainty, labor shortages and regulatory complexities. Many remain optimistic, but prioritize resilience and adaptability.
The looming recession, rising interest rates and global trade tensions become unpredictable. A recent CBIZ-HOFSTRA University survey found that mid-market CEOs cite tariffs, talent availability and tax uncertainty as top concerns. With the change in the alliance, new geopolitical risks must be taken into account in long-term strategic decisions, as they restructure global businesses.
But many CEOs see the opportunity. EY's Global Trust Survey reports that executives are confident in the company's ability to expand and innovate despite uncertainty.
Its ability depends on making wise location decisions, fostering a strong workforce, and embracing future technology and sustainability.
Risk Management and Resilience: Prosper in Uncertainty
In a volatile economy, businesses that prioritize operational flexibility, crisis preparation and strategic adaptation will improve weather disruptions.
“Resilience isn't just about reducing risk, it's about understanding enough to turn them into opportunities,” says Brian D. Haney, president and chief operating officer of Kinsale Insurance Company. “CEOs should carefully assess risk appetite and ensure agility to navigate challenges while focusing on long-term growth.”
Coincidentally, Richmond has emerged as a leader in risk management, particularly in the insurance sector. Insurance leaders like Kinsale and Markel thrive here, leveraging a business-friendly environment and a deep talent pool of financial and specialized insurance.
The region's ranking as the most climate-sensitive first metro in the United States further emphasizes its stability.
Richmond offers CEOs who aim to balance growth and risk with a model for integrating financial security and long-term adaptability.
Location Strategy: Growth Fundamentals
Growth is a top priority for business leaders in 2025, and many are looking to make it happen beyond the current market. About a third of companies prioritize domestic expansion – CEOs' trust in the transaction is the highest in nearly two years, according to JP Morgan's latest business leader outlook survey.
A strategic location could be a game changer. Companies have achieved long-term success by choosing where they offer stability, access to skilled talent and business-friendly policies.
CEO questions are not about whether they grow or not, but where they are most effective.
“When site location consultants evaluate locations, we want our clients to be a place that provides a balance between employee preparation, business costs, infrastructure and economic stability,” says Christopher Lloyd, economic development team at McGuirewoods Consulting. “The right place is more than just a site. It's a place that we intend to grow and thrive in a true partnership with our community.”
Richmond has emerged as the biggest option for businesses looking to scale. Its robust infrastructure, including a growing public transport system, supports industries ranging from logistics to sophisticated manufacturing. Affordable prices in the region – operating costs are 11% lower than the national average survey of 30 metros in the country, making it attractive for businesses to optimize costs.
Large companies are attracting attention. LEGO Group's upcoming $1 billion manufacturing business is attracting global attention. Meanwhile, technology and life science leaders are investing in the regions depicted by their strategic East Coast locations and strong workforce pipelines.
Talent and Workforce Development: The Key to Going On
Attracting and retaining top talent is one of the biggest challenges for CEOs. Labor shortages and high sales continue to put pressure on the industry, making a solid workforce strategy essential.
The demand for professional skills is growing in areas such as healthcare, technology and advanced manufacturing. Companies are available with hands-on training, leadership development and tuition support programs.
Richmond highlights collaborative efforts between universities and businesses to strengthen their talented pipeline.
Just a step away from Fortune 500 companies and emerging startups, the New Arts Innovation Center at Commonwealth University, Virginia, will become the launchpad for the city's growing digital and creative economy. Boasted by Costar Group's $18 million investment, the center will help bridge the gap between academic training and real-world business demand.
“Higher education plays a pivotal role in enhancing local growth,” said David Hale, executive vice president and chief operating officer at the University of Richmond. “Adjusting academic programs to industry needs gives businesses access to a workforce that is not only skilled but ready for the future.”
Beyond education, workplace culture is evolving. Today's employees want more than a competitive salary. They want career development, diversity and purpose. Companies that prioritize these factors will have the advantage in attracting and staying motivated at the top.
Digital Transformation: Future Power
AI, automation and digital infrastructure are not just trends, they are the backbone of modern business success. Companies investing in these technologies are unlocking new revenue streams and promoting long-term economic and community impact.
Richmond offers an attractive example of how strategic digital investment can drive sustainable growth. The region has emerged as a hub for data-driven industries supported by cutting-edge infrastructures such as high-speed submarine fiber connections.
Industry companies can replicate this model by prioritizing a robust digital ecosystem that attracts talent and investment while increasing efficiency.
Halleon's recent $54.2 million expansion strengthens Richmond's role in life sciences and AI-driven automation. (In addition, its new consumer healthcare-centric internship offers paid opportunities for VCU students.)
Reinvestment of tax revenues in Henrico County data centers offers reinvestment in affordable housing.
“This innovative approach is a model for how data center tax revenues are directed towards Henrico's Affordable Housing Trust Fund and how strategic economic development can drive real and lasting impact on the community,” says Jody K. Logish, board of directors of the Henrico County Board of Supervisors and Greater Richmond Partnership. “We are not only providing world-class connectivity and energy efficiency to businesses, but we are also reinvesting in the well-being of our residents.”
Sustainability and ESG: Business Cases to Become Green
Companies that incorporate environmental, social and governance (ESG) principles into their strategies do not only protect the environment. They strengthen their long-term business outlook and contribute to economic stability.
The best sustainability strategies go beyond reducing carbon footprint. They increase operational efficiency, attract the best talent and generate lasting economic benefits. Virginia's $380 million sustainability upgrade streamlines logistics while reducing environmental impact.
“Companies that build sustainability in their growth strategies will reduce costs, strengthen relationships with customers and partners, and strengthen relationships with customers and partners,” said Bryan Jones, construction president of Hourigan Group, a construction and development company at Richmond Head Crower.
Richmond is also at the forefront of green business innovation. Babylon Micro Farm and Lots of Unlimited are leaders in indoor vertical farming, eliminating long-distance transport and making food production more sustainable.
Companies that apply ESG principles are more than meeting consumer expectations. They are building businesses that can adapt and lead the increasingly complex and changing global climate and economy.
Looking ahead: Turning uncertainty into opportunities
The challenges of 2025 may seem daunting, but they also present unprecedented opportunities for advanced CEOs. Economic uncertainty is realistic, but there is also the possibility of reinvention.
A thriving company is one that accepts calculated risk, leverages data-driven decision-making, and maintains agile as it adapts to changing market power.
There are models of success that should be followed. This is a business and region that proves that growth and resilience are closely linked. Richmond is one such example, demonstrating how investment in workforce development, technology and sustainability creates the foundation for long-term prosperity.
CEOs who study and apply these lessons can gain competitiveness and turn volatility into momentum.
That's because careful optimism is more than just thinking. That's a strategy. And leaders who balance bold action with thoughtful planning will set the pace for the next era of growth.
