Brazil: Confronting the Productivity Challenge

See on Scoop.itBusiness education @GIBS

Brazil must improve productivity to meet its aspiration of growing GDP by more than 4 percent annually. Companies must decide where to “play” and adjust accordingly.

KISs @GIBS‘s insight:

BRICS and emerging economies – Ackn. bcg  "

 as Brazil closes penetration gaps with developed economies in several categories, as well as in consumer-credit stock levels. A sluggish global economy will weaken demand for Brazilian commodities.

On the supply side, productivity has emerged as the key challenge for Brazil and companies operating in Brazil. Our analysis shows that approximately 74 percent of the GDP growth over the past decade was due to the increase in the number of people working and only about 26 percent was attributable to productivity gains. This is very different from the productivity-driven growth of other rapidly developing economies. As the workforce expansion weakens, it will be critical for Brazil to increase productivity significantly to meet its aspiration of growing GDP by more than 4 percent per year."

See on www.bcgperspectives.com

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s