Saturday, April 16, 2005

Neoconsulting Employment in Brazil

The neoconsulting employment industry is booming. Latin America alone has experienced a 74% jump in market share and a 14% salary increase for top executives over the last 3 fiscal quarters. Our associate Rubens Gimael forecasts continued growth for the next 5-7 years. If training can keep pace with demand, a weak US dollar may be the limiting factor.

2 comments:

Sami Somosa said...

Chip,

Could you shed some light on this seeming paradox -- while Lula expands the welfare state in Brazil, we've seen simultaneous double-digit growth in many of their sectors. Is it possible that we're headed towards a resurgence that could be handled by a boutique firm or do you think we're in for a major paradigm shift within our Southern Cone markets that McDougall could wrap its tentacles around? I know your skills as a prognosticator are unparalleled, so I'm trusting you to drop some science on the matter.

Yours,
Sami Somosa

Chip McDougall said...

Hi Sami,

Great question. As we've noted, we believe the exchange rate will have an importan impact on growth rates in Latin America. Interestingly, there have been subtle hints this week that China is moving away from its hard-line stance on tagging its currency to the US dollar. While there would obviously be a significant lag time in the effect of such a shift on Latin American saturation indices, the likelihood of secondary or tertiary reverberations is undeniable. In summary, I would not go so far as to say a paradigm shift is inevitable; but neither would I say that stagnation is predicted for any period in the next 2-3 years.