Latin American Business OutlookPart of the Global Business Outlook
A joint survey effort between
Duke University,Fundação Getúlio Vargas
and
CFO magazine
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 1
Top Internal Concerns for Latin America CFOs
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 2
1. Ability to maintain margins
2. Attracting and retaining qualified employees
3. Maintaining morale/productivity
4. Ability to forecast results
5. Working capital management
6. Supply chain risk
7. Managing IT systems
8. Counterparty risk
9. Protection of Intellectual Property
10. Balance sheet weakness
11. Pension obligations
Top External Concerns for Latin America CFOs
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 3
1. Consumer demand
2. Price pressure from competitors
3. Federal government policies
4. (tie) Corporate tax rates
4. (tie) Currency risk
6. Global financial instability
7. Foreign competition
8. Credit markets/interest rates
9. Cost of non-fuel commodities
10. Inflation
11. Cost of fuel
Forecast of % change over next 12 monthsHistorical Responses Mar 2013 Response
Rev
enue
Notes: Presented data are the mean value for each region or country
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 4
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013-5%
5%
15%
25%
Latin America United States Europe Asia United St
ates
Euro
peAsia
Latin Ameri
caBraz
ilPeru Chile
Colombia0%
5%
10%
15%
Pro
duct
Pric
es
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013
-5%
0%
5%
10%
15%
Latin America United States Europe AsiaUnite
d State
s
Euro
peAsia
Latin Ameri
caBraz
ilPeru Chile
Colombia0%
5%
10%
Historical Responses
Cap
ital S
pend
ing
Mar 2013 Response
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 5
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013
-5%
0%
5%
10%
15%
Latin America United States Europe Asia
United States Europe Asia Latin America Brazil
-5%
0%
5%
10%
15%
Forecast of % change over next 12 months
Notes: Presented data are the mean value for each region or country, except medians are shown for Latin American earnings in Dec 2012 and Mar 2013.
Ear
ning
s
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013-5%
5%
15%
25%
Latin America United States Europe AsiaUnited States Europe Asia Latin America Brazil
0%
5%
10%
15%
Historical Responses
# F
T E
mpl
oyee
sW
ages
& S
alar
ies
Mar 2013 Response
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 6
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013
-5%
0%
5%
10%
15%
Latin America United States Europe Asia
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 2013
-5%
0%
5%
10%
15%
Latin America United States Europe Asia
United States Europe Asia Latin America Brazil
-5%
0%
5%
United States Europe Asia Latin America Brazil0%
5%
10%
Forecast of % change over next 12 months
Notes: Presented data are the mean value for each region or country, except medians shown for Latin America in Dec 2012 and Mar 2013.
#FT=Number of Fulltime Employees
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013
Business Optimism Index (Scale from 0 to 100)Historical Responses
Cou
ntry
/ R
egio
nO
wn
Com
pany
Mar 2013 Response
7
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 201335
45
55
65
75
Latin America United States Europe Asia
Mar 2012 Jun 2012 Sep 2012 Dec 2012 Mar 201335
45
55
65
75
Latin America United States Europe Asia
Brazil Mexico Argentina Chile Peru Colombia0
1020304050607080
Brazil Mexico Argentina Chile Peru Colombia0
1020304050607080
Notes: Presented data are the mean value for each region or country
Capital spending and net new investment
8Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013
US Latin America Asia Europe0%
1%
2%
3%
4%
5%
6%
7%
8%
Percent increase over next year
Capital spending Net new investment
Where will your cross-border acquisitions occur?
Europe
Asia/Pacific Basin
Latin America
Canada
Africa
US
Latin AmericaUS/Canada
Europe
Latin America
9Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013
Should Your Country’s Currency be Depreciated? (Percent that Say Yes)
Brazil Mexico Argentina Chile Peru Colombia0%
20%
40%
60%
80%
100%
10Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013
Expected Economic Growth of Your Country
11Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013
Brazil Peru Chile Colombia Argentina Mexico0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
If US were NOT to enter a recession If US were to enter a recession
Duke/FGV CFO Survey in Latin America Press
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 12
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 13
Duke/FGV CFO Survey in Latin America Press
Latin American Business OutlookPart of the Global Business Outlook
A joint survey effort between
Duke University,Fundação Getúlio Vargas
and
CFO magazine
Latin American Business Outlook Duke University / FGV / CFO Magazine Mar 2013 14
