Annual Enterprise Survey - 1998
Results from Statistics New Zealand's Annual Enterprise Survey explain the affects of the slowdown in economic growth
for the New Zealand economy that occurred between 1997 and 1998 on profit, employment, investment and business
The survey, which contains the most comprehensive data on the performance of the New Zealand economy, provides a
detailed analysis of the pattern of economic change signalled in earlier releases of statistics.
Net profit before tax and salaries and wages paid to working proprietors decreased between 1997 and 1998 in all but two
of the 15 industry groups. The Asian crisis, drought, a fall in most commodity prices, and increased competition in some
industries contributed to this fall. The two industries to record an increase in profit were finance and insurance; and
accommodation, cafes and restaurants. The largest falls in profit were recorded in the following industries: wholesale
trade; property and business services; electricity, gas and water supply; and manufacturing. Agriculture services,
forestry and fishing recorded a net loss.
Total gross income across the 15 industry groups increased by 2.8 per cent. The largest increases were recorded in
finance and insurance; and wholesale trade. The largest falls were recorded in the manufacturing; and agricultural
services, forestry and fishing industries. The latter industry was mainly influenced by the fall in log export volumes
and prices during the Asian crisis. Factors affecting the agriculture industry, such as the drought, also affected the
agriculture services component of the industry.
Investment in plant, machinery, vehicles and equipment fell 2.9 per cent with 10 of the industry groups recording
decreases. The largest decreases in investment were recorded in accommodation, cafes and restaurants; agriculture
services, forestry and fishing; and manufacturing.
This survey collects financial data from a wide selection of New Zealand businesses and is used to provide annual
benchmarks for estimating annual and quarterly measures of economic growth (GDP). Detailed tables of the Annual
Enterprise Survey are available on the Statistics New Zealand website.