A number of our clients have viewed Latin America and Brazil in particular, as a ‘bright spot’ during the financial crises and recessions of the past five years. But Latin America is also full of very high uncertainty markets (e.g. Venezuela, Argentina) that require sophisticated scenario planing and risk management practices. This dynamic keeps general managers on edge as they look for the right target markets and opportunities.
Mexico’s GDP growth rate is now significantly outpacing Brazil. Mexico’s increased exports to the United States are driving the growth while an anemic manufacturing sector is dragging Brazil close to recession. It is important to remember that Brazil’s economy (2.493 T USD in 2011) is still more than double Mexico’s (1.155 T USD in 2011). However, depending on the sector and the product, Mexico deserves careful consideration when allocating resources in Latin America. For more detail and industry specific insight, please contact email@example.com.
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