Davos, Switzerland, held the 2025 World Economic Forum, which showcased influential business executives and global leaders who tackled the world’s most significant issues today. The event was filled with lively debates between heads of state, business moguls, and politicians. As executives told CNBC, one of the biggest takeaways is that Europe should focus on its competitiveness and work on deregulating to match the US and Asia. 

While dozens of leaders spoke at the forum, some key insights included the preparedness for a second Trump administration, deep dives into the US economy, and implementing tariffs. 

Ericsson CEO Speaks on Europe’s Regulatory-First Approach

Borje Ekholm, Ericsson CEO, spoke to CNBC and insisted that innovation is the most integral framework Europe needs to focus on rather than regulation. Given Europe’s “regulatory-first approach,” Ekholm noted that the continent should take a page from the United States’ book regarding innovation. By doing so, Ekholm believes that Europe can reach a competitiveness that rivals that of the US and Asia. 

Chairman of the Siemens Energy Advisory Board Doesn’t Think the European Union Is Prepared for Trump’s Second Term

Following Donald Trump’s swift executive orders following his inauguration as the 47th US president, German businessman and Siemens Energy advisory board chairman Joe Kaesar doesn’t think the European Union is prepared. However, he did note that it’s important to “wait and see until the facts are on the table.” 

He added, “Obviously, it looks different to what it used to be. Trump 1.0 was a lot of noise, little signal, and less actions. This time the administration seems to be well prepared to really change things for the global world.” 

Kaesar criticized the European Union’s lack of foreign economic policy for not properly reflecting all levels of the population’s economy. 

Alternatively, Ursula von der Leyen, president of the European Commission, believes that the European Union is, in fact, “ready to do business with the world.”

Head of London Stock Exchange Group Notes the Excitement Surrounding the US Economy

Regarding the global economy, David Schwimmer, the head of the London Stock Exchange Gromove, claims the US economy is causing a lot of buzz. He explained, “If you go around the world, you can see very different situations and in different economies, a lot of excitement about the US. We’ll see how long that lasts.” 

Now, that’s not to say that there aren’t challenges, but he did declare that there was a “gloomy perspective on parts of Europe,” which ranged from economic to geopolitical concerns. 

Novo Nordisk Foundation CEO Believes That Europe Should Focus on Innovation Before Regulation

Mads Krosgaard Thomsen, Novo Nordisk Foundation CEO, says that Europe should innovate before the country regulates — a common sentiment at the World Economic Forum. He explained, “Innovation demands that there’s funding, and there’s different mechanisms for creating that funding.”

Thomsen added that the red tape and regulatory frameworks are preventing Europe from tapping into the kind of innovation that other countries are employing. 

UBS CEO Believes That the Trump Administration’s Proposed Tariffs Won’t Help Inflation

Donald Trump’s focus on tariffs might not be the right move for the United States, according to UBS CEO Sergio Emotti. While the move aims to lessen interest rates, Emotti believes these declines could falter if Trump’s proposed tariffs affect other markets and lead to even more inflation. 

The CEO explained, “Something that I’ve been saying for a while, inflation is much more sticky than we have been saying.” He added, “Tariffs will probably not really help inflation come down. And therefore, I don’t see rates coming down as fast as people believe.”