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R. Biasca & AssociatesR. Biasca & AssociatesDecemberDecember, , 20022002R. Biasca & AssociatesR. Biasca & AssociatesDecemberDecember, , 20022002
AA RR GG EE NN TT II NN AAECONOMIC OUTLOOKECONOMIC OUTLOOK
BUSINESS OPPORTUNITIES AND FOREIGN BUSINESS OPPORTUNITIES AND FOREIGN INVESTMENTINVESTMENT
AA RR GG EE NN TT II NN AAECONOMIC OUTLOOKECONOMIC OUTLOOK
BUSINESS OPPORTUNITIES AND FOREIGN BUSINESS OPPORTUNITIES AND FOREIGN INVESTMENTINVESTMENT
Chamber of the AmericasChamber of the AmericasDenver, Co. USADenver, Co. USAChamber of the AmericasChamber of the AmericasDenver, Co. USADenver, Co. USA
Information SourcesInformation SourcesInformation SourcesInformation Sources
Current Situation in ArgentinaCurrent Situation in ArgentinaCurrent Situation in ArgentinaCurrent Situation in Argentina
Argentina: ForecastArgentina: ForecastArgentina: ForecastArgentina: Forecast
Business OpportunitiesBusiness OpportunitiesBusiness OpportunitiesBusiness Opportunities
CHANGECHANGECHANGECHANGE
PROPOSALSPROPOSALSPROPOSALSPROPOSALS
ANALYSISANALYSISANALYSISANALYSIS
One Framework: Biasca´s ModelOne Framework: Biasca´s Model
ONE FRAMEWORK: ONE FRAMEWORK:
Biasca´s ModelBiasca´s Model
ONE FRAMEWORK: ONE FRAMEWORK:
Biasca´s ModelBiasca´s Model
Chamber of the AmericasChamber of the Americas R. Biasca & Associates Inc. R. Biasca & Associates Inc.
CHANGECHANGECHANGECHANGE
PROPOSALSPROPOSALSPROPOSALSPROPOSALS
ANALYSISANALYSISANALYSISANALYSIS
Business TransformationAnalogy
Business TransformationAnalogy
MEDICINEMEDICINE ORGANIZATION
DIAGNOSISDIAGNOSISDIAGNOSISDIAGNOSIS
PRESCRIPTIONPRESCRIPTION
THERAPYTHERAPY
ANALYSISANALYSISANALYSISANALYSIS
IDEASIDEASIDEASIDEAS
ACTIONACTIONACTIONACTION
CONTRIBUTIONS:CONTRIBUTIONS:
• INTERDISCIPLINARY APPROACHINTERDISCIPLINARY APPROACH
• HOLISTIC, PRACTICAL INTEGRATION OF HOLISTIC, PRACTICAL INTEGRATION OF CONCEPTS AND FADSCONCEPTS AND FADS
How much change is needed?How much change is needed?How much change is needed?How much change is needed?
Current Situation in Argentina Current Situation in Argentina Current Situation in Argentina Current Situation in Argentina
Current Situation in Argentina
SITUATION IN ARGENTINASITUATION IN ARGENTINA
MAIN EVENTSMAIN EVENTS ( December, 2001 – March, 2002)( December, 2001 – March, 2002)
MAIN EVENTSMAIN EVENTS ( December, 2001 – March, 2002)( December, 2001 – March, 2002)
Five Presidents in One MonthFive Presidents in One Month
DefaultDefault
DevaluationDevaluation
US$ 1 = $ 1 to US$ 1 = $ 3.7US$ 1 = $ 1 to US$ 1 = $ 3.7
Five Presidents in One MonthFive Presidents in One Month
DefaultDefault
DevaluationDevaluation
US$ 1 = $ 1 to US$ 1 = $ 3.7US$ 1 = $ 1 to US$ 1 = $ 3.7
Deposits confiscationDeposits confiscation
Legal uncertaintyLegal uncertainty
Social UnrestSocial Unrest
Deposits confiscationDeposits confiscation
Legal uncertaintyLegal uncertainty
Social UnrestSocial Unrest
Chamber of the Americas R. Biasca & Associates Inc. R. Biasca & Associates Inc.
CURRENT SITUATIONCURRENT SITUATION CURRENT SITUATIONCURRENT SITUATION GNP decreaseGNP decrease After the largest recession in history (1998 – 2001) a brutal GNP decrease in 2002 (13%)After the largest recession in history (1998 – 2001) a brutal GNP decrease in 2002 (13%)
GNP decreaseGNP decrease After the largest recession in history (1998 – 2001) a brutal GNP decrease in 2002 (13%)After the largest recession in history (1998 – 2001) a brutal GNP decrease in 2002 (13%)
Decrease in real income per capita: 23%Decrease in real income per capita: 23% Decrease in investment per capita: 61%Decrease in investment per capita: 61%
Decrease in real income per capita: 23%Decrease in real income per capita: 23% Decrease in investment per capita: 61%Decrease in investment per capita: 61%
Investment destructionInvestment destruction 1991-98: 18% GNP 2002: 10%1991-98: 18% GNP 2002: 10%
Capital OutflowCapital Outflow 16% GNP is migrating
Debt: 170% GNP. No agreement with IMF.Debt: 170% GNP. No agreement with IMF.
InflationInflation
Investment destructionInvestment destruction 1991-98: 18% GNP 2002: 10%1991-98: 18% GNP 2002: 10%
Capital OutflowCapital Outflow 16% GNP is migrating
Debt: 170% GNP. No agreement with IMF.Debt: 170% GNP. No agreement with IMF.
InflationInflation
Consequences:Consequences:
Current Situation in Argentina
Chamber of the Americas
High unemployment (High unemployment (official figure: 22%official figure: 22%).).
53% of population under “poverty line”53% of population under “poverty line” (25% under “survival line”).(25% under “survival line”).
2001: -1%2001: -1%
2002: 70% ?2002: 70% ?
2001: -1%2001: -1%
2002: 70% ?2002: 70% ?
R. Biasca & Associates Inc. R. Biasca & Associates Inc.
Violence and crime at unprecedent levels.Violence and crime at unprecedent levels.
Legal mess.Legal mess.
Corruption.Corruption.
Weak government.Weak government.
Assets (in US$) at lowest levels.Assets (in US$) at lowest levels.
Increased migration to other countries.Increased migration to other countries.
Violence and crime at unprecedent levels.Violence and crime at unprecedent levels.
Legal mess.Legal mess.
Corruption.Corruption.
Weak government.Weak government.
Assets (in US$) at lowest levels.Assets (in US$) at lowest levels.
Increased migration to other countries.Increased migration to other countries.
Current Situation in Argentina
Chamber of the Americas
SUMMARYSUMMARY
Competitive Deterioration: 10/10Competitive Deterioration: 10/10
Inmediate Action RequieredInmediate Action Requiered
Competitive Deterioration: 10/10Competitive Deterioration: 10/10
Inmediate Action RequieredInmediate Action Requiered
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CompetitivenessCompetitivenessCompetitivenessCompetitiveness
R. Biasca & Associates Inc.R. Biasca & Associates Inc.R. Biasca & Associates Inc.R. Biasca & Associates Inc.Chamber of the AmericasChamber of the AmericasChamber of the AmericasChamber of the Americas
COUNTRYCOUNTRY RANKINGSRANKINGS
20022002 19981998
USAUSA 11 11
FINLANDFINLAND 22 66
CHILECHILE 2020 2727
SPAINSPAIN 2323 2626
BRAZILBRAZIL 3535 3535
MEXICOMEXICO 4141 3434
ARGENTINAARGENTINA 4949 3030
IMD World Competitiveness ScoreboardIMD World Competitiveness ScoreboardSource: www.imd.chSource: www.imd.ch
IMD World Competitiveness ScoreboardIMD World Competitiveness ScoreboardSource: www.imd.chSource: www.imd.ch
Another source.Another source.
World Economic ForumWorld Economic Forum
Another source.Another source.
World Economic ForumWorld Economic Forum
Which are the proposals?Which are the proposals?
Are the ideas easy to Are the ideas easy to implement?implement?
Which are the proposals?Which are the proposals?
Are the ideas easy to Are the ideas easy to implement?implement?
ARGENTINA FORECASTARGENTINA FORECASTARGENTINA FORECASTARGENTINA FORECAST
R. Biasca & Associates Inc.Chamber of the Americas
NONO YESYES
???? ??
“REMEDY”(Proposals)“REMEDY”(Proposals)
The Formula
Chamber of the Americas R. Biasca & Associates Inc.
Argentina: Forecast
Chamber of the Americas
2003 OUTLOOK2003 OUTLOOK2003 OUTLOOK2003 OUTLOOK
POLITICAL OUTLOOKPOLITICAL OUTLOOK POLITICAL OUTLOOKPOLITICAL OUTLOOK
Political TurmoilPolitical Turmoil Political TurmoilPolitical Turmoil
There is the risk of political violence and increased tensions during There is the risk of political violence and increased tensions during the primaries and the election campaign itself.the primaries and the election campaign itself.There is the risk of political violence and increased tensions during There is the risk of political violence and increased tensions during the primaries and the election campaign itself.the primaries and the election campaign itself.
Uncertain ElectionsUncertain Elections Uncertain ElectionsUncertain Elections
Surveys indicate that, today no candidate would have more than Surveys indicate that, today no candidate would have more than 20% of votes. Elections will take place before May, 2003.20% of votes. Elections will take place before May, 2003.Surveys indicate that, today no candidate would have more than Surveys indicate that, today no candidate would have more than 20% of votes. Elections will take place before May, 2003.20% of votes. Elections will take place before May, 2003.
A Weak New GovernmentA Weak New Government A Weak New GovernmentA Weak New Government
The heavy agenda of reform needed to raise political effectivenessThe heavy agenda of reform needed to raise political effectivenessand promote a sustainable recovery will be extremely difficult for and promote a sustainable recovery will be extremely difficult for the incoming government.the incoming government.
The heavy agenda of reform needed to raise political effectivenessThe heavy agenda of reform needed to raise political effectivenessand promote a sustainable recovery will be extremely difficult for and promote a sustainable recovery will be extremely difficult for the incoming government.the incoming government.
R. Biasca & Associates Inc.
Argentina: Forecast
Chamber of the Americas
ECONOMIC POLICY OUTLOOKECONOMIC POLICY OUTLOOK ECONOMIC POLICY OUTLOOKECONOMIC POLICY OUTLOOK
Risk of default in official loansRisk of default in official loans Risk of default in official loansRisk of default in official loans
An IMF agreement has remained elusive as a result of lack of An IMF agreement has remained elusive as a result of lack of progress towards resolving the deposit freeze and other issues.progress towards resolving the deposit freeze and other issues.Unless the government secures an IMF agreement, there will be aUnless the government secures an IMF agreement, there will be arisk of default on official loans.risk of default on official loans.
Quasi - CurrenciesQuasi - Currencies Quasi - CurrenciesQuasi - Currencies
Continued issuance of quasi – currencies, means inflation in the future.Continued issuance of quasi – currencies, means inflation in the future.
External and Internal DebtExternal and Internal Debt External and Internal DebtExternal and Internal Debt
Argentina needs umprecedent growth rates and extraordinary BudgetArgentina needs umprecedent growth rates and extraordinary BudgetBalanced surplus to pay some of the external debts.Balanced surplus to pay some of the external debts.
R. Biasca & Associates Inc.
Argentina Forecast
Chamber of the Americas
ECONOMIC FORECASTECONOMIC FORECAST ECONOMIC FORECASTECONOMIC FORECAST
ExportsExports ExportsExports
Exports will be lifted by the devaluation and decreased consumption.Exports will be lifted by the devaluation and decreased consumption.
GrowthGrowth GrowthGrowth
Little prospect exists of a significant recovery before the second half of Little prospect exists of a significant recovery before the second half of 2003. Downward revisions to the forecast for global growth provide a 2003. Downward revisions to the forecast for global growth provide a less promising backdrop to Argentina’s economy in the medium term.less promising backdrop to Argentina’s economy in the medium term.
Retrenchment StrategiesRetrenchment Strategies Retrenchment StrategiesRetrenchment Strategies
Companies will continue to limit their investment and marketing efforts Companies will continue to limit their investment and marketing efforts and increase cost reduction measures.and increase cost reduction measures.
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Business OpportunitiesBusiness OpportunitiesBusiness OpportunitiesBusiness Opportunities
Chamber of the Americas R. Biasca & Associates Inc.
ExportersExporters
Tourism industryTourism industry
Companies that manufacture previously imported goodsCompanies that manufacture previously imported goods
Investors that want to buy cheap (at hight risk)Investors that want to buy cheap (at hight risk)
ExportersExporters
Tourism industryTourism industry
Companies that manufacture previously imported goodsCompanies that manufacture previously imported goods
Investors that want to buy cheap (at hight risk)Investors that want to buy cheap (at hight risk)
Chamber of the Americas
Business Opportunities
OPPORTUNITIESOPPORTUNITIESOPPORTUNITIESOPPORTUNITIES
KEY ECONOMIC SECTORSKEY ECONOMIC SECTORSKEY ECONOMIC SECTORSKEY ECONOMIC SECTORS
forfor
AgricultureAgriculture
Oil, energy and miningOil, energy and mining
Food manufacturingFood manufacturing
TourismTourism
AgricultureAgriculture
Oil, energy and miningOil, energy and mining
Food manufacturingFood manufacturing
TourismTourism
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SYNTHESISSYNTHESISSYNTHESISSYNTHESIS
R. Biasca & Associates Inc.Chamber of the Americas
CHANGE AND CORPORATE RENEWALBiasca’s Business Transformation Model
Holistic – Interdisciplinary - Practical
CHANGE AND CORPORATE RENEWALBiasca’s Business Transformation Model
Holistic – Interdisciplinary - Practical
COMPETITIVEPOSITION
ASSESSMENT
COMPETITIVECOMPETITIVEPOSITIONPOSITION
ASSESSMENTASSESSMENT
DiagnosisPurpose of Change?
REVOLUREVOLUTTIIOONN EVOLUEVOLUTTIIOONN
RADICAL INNOVATION
RADICAL RADICAL INNOVATIONINNOVATION
CONTINUOUSCONTINUOUSIMPROVEMENTIMPROVEMENT
Not Competitive Competitive
IdeasImprovement Proposals
ActionImplementation
C=f(R, E, A, T, P, $, )
R. physical and organizational restructuring.E. strategic change.A. new management methods, human resources.T. different technology.P. productivity and quality.$. financing and legal restructuring. proposals differ according to the country.(formula to be used depends on the competitive position)
How much change do we need?
Implementation Steps.
Change according to the country.
General Transformation Formula
KAIZENKAIKAKU
Available time decreases
MORE INFORMATIONMORE INFORMATIONMORE INFORMATIONMORE INFORMATION
Visit our Website!Visit our Website!Visit our Website!Visit our Website!
http://http://www.biasca.comwww.biasca.comhttp://http://www.biasca.comwww.biasca.com
Chamber of the Americas
Information Sources
SOURCES OF INFORMATIONSOURCES OF INFORMATION
Economist Intelligence Unit.Economist Intelligence Unit. www.economist.comwww.economist.com
International Monetary FundInternational Monetary Fund www.imf.orgwww.imf.org
IMDIMD www.imd.chwww.imd.ch
The Argentina Forecast ReportThe Argentina Forecast Report www.businessmonitor.comwww.businessmonitor.com
Latin American Market ReportLatin American Market Report http:// tendencias.infoamericas.comhttp:// tendencias.infoamericas.com
Argentine Central BankArgentine Central Bank www.bcra.gov.arwww.bcra.gov.ar
Argentine Economic MinistryArgentine Economic Ministry www.mecon.gov.arwww.mecon.gov.ar
R. Biasca & Associates Inc.
INFORMATION SOURCESINFORMATION SOURCESINFORMATION SOURCESINFORMATION SOURCES
R. Biasca & Associates Inc.Chamber of the Americas
Appendix
APPENDIXAPPENDIXAPPENDIXAPPENDIX
R. BIASCA & ASSOCIATES INC.R. BIASCA & ASSOCIATES INC. Short descriptionShort description R. BIASCA & ASSOCIATES INC.R. BIASCA & ASSOCIATES INC. Short descriptionShort description
R. BIASCAR. BIASCA Brief ResumeBrief Resume
R. BIASCAR. BIASCA Brief ResumeBrief Resume
www.biasca.comwww.biasca.com Website home pageWebsite home page..
www.biasca.comwww.biasca.com Website home pageWebsite home page..
Chamber of the Americas
ARTICLE. ARTICLE. ““Anxious in Argentina”Anxious in Argentina”
ARTICLE. ARTICLE. ““Anxious in Argentina”Anxious in Argentina”
ARGENTINA. ARGENTINA. Factsheet.Factsheet.
ARGENTINA. ARGENTINA. Factsheet.Factsheet.
R. Biasca & Associates Inc.
COMPETITIVENESS COMPETITIVENESS World Competitiveness Scoreboards (IMD and WEF),World Competitiveness Scoreboards (IMD and WEF),
COMPETITIVENESS COMPETITIVENESS World Competitiveness Scoreboards (IMD and WEF),World Competitiveness Scoreboards (IMD and WEF),
Appendix. Argentina. Factsheet
Chamber of the Americas
A R G E N T I N AA R G E N T I N AFactsheetFactsheet
A R G E N T I N AA R G E N T I N AFactsheetFactsheet
BackgroundBackgroundBackgroundBackground
Protectionist and populist economic policies in the post-war era led to economic Protectionist and populist economic policies in the post-war era led to economic stagnation and hyperinflation in the 1980s.stagnation and hyperinflation in the 1980s.Carlos Menem of the Partido Justicialista (PJ, known as the Peronist Party), Carlos Menem of the Partido Justicialista (PJ, known as the Peronist Party), who was elected president in 1989, abandoned the party’s statist ideology who was elected president in 1989, abandoned the party’s statist ideology in favour of market economics and liberalisation, resulting in a period of in favour of market economics and liberalisation, resulting in a period of rapid growth. rapid growth. Mr. Menem´s failure to deepen fiscal and structural reforms in his second termMr. Menem´s failure to deepen fiscal and structural reforms in his second term(1995-99) left the economy vulnerable to a series of external shocks in 1997-99. (1995-99) left the economy vulnerable to a series of external shocks in 1997-99. Fernando de la Rua’s centre-left government, which was unable to halt the Fernando de la Rua’s centre-left government, which was unable to halt the economic decline, collapsed after two years in office in December 2001 amid economic decline, collapsed after two years in office in December 2001 amid violent protests. A Peronist, Eduardo Duhalde, was elected president by violent protests. A Peronist, Eduardo Duhalde, was elected president by Congress at the start of 2002.Congress at the start of 2002.
Protectionist and populist economic policies in the post-war era led to economic Protectionist and populist economic policies in the post-war era led to economic stagnation and hyperinflation in the 1980s.stagnation and hyperinflation in the 1980s.Carlos Menem of the Partido Justicialista (PJ, known as the Peronist Party), Carlos Menem of the Partido Justicialista (PJ, known as the Peronist Party), who was elected president in 1989, abandoned the party’s statist ideology who was elected president in 1989, abandoned the party’s statist ideology in favour of market economics and liberalisation, resulting in a period of in favour of market economics and liberalisation, resulting in a period of rapid growth. rapid growth. Mr. Menem´s failure to deepen fiscal and structural reforms in his second termMr. Menem´s failure to deepen fiscal and structural reforms in his second term(1995-99) left the economy vulnerable to a series of external shocks in 1997-99. (1995-99) left the economy vulnerable to a series of external shocks in 1997-99. Fernando de la Rua’s centre-left government, which was unable to halt the Fernando de la Rua’s centre-left government, which was unable to halt the economic decline, collapsed after two years in office in December 2001 amid economic decline, collapsed after two years in office in December 2001 amid violent protests. A Peronist, Eduardo Duhalde, was elected president by violent protests. A Peronist, Eduardo Duhalde, was elected president by Congress at the start of 2002.Congress at the start of 2002.
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Political structurePolitical structurePolitical structurePolitical structure
A strong presidential system is checked by a bicameral Congress comprissing A strong presidential system is checked by a bicameral Congress comprissing a 257-member Chamber of Deputies, representatives which are elected for a 257-member Chamber of Deputies, representatives which are elected for four-year terms, and a 72-member directly elected Senate. four-year terms, and a 72-member directly elected Senate. The President serves a four-year terms. Mr. Duhalde is due to serve out the The President serves a four-year terms. Mr. Duhalde is due to serve out the remainder of Mr. de la Rua’s term until December 2003. He has promised remainder of Mr. de la Rua’s term until December 2003. He has promised to call for elections in April and not to run for re-election. to call for elections in April and not to run for re-election. The Peronists control the Senate and have a majority in the Chamber of Deputies.The Peronists control the Senate and have a majority in the Chamber of Deputies.In addition, the PJ controls 14 of the 24 provinces, including the most important In addition, the PJ controls 14 of the 24 provinces, including the most important ones. Mr. Duhalde lacks authority owing to the deep divisions within the PJ. ones. Mr. Duhalde lacks authority owing to the deep divisions within the PJ. The loss of credibility of mainstream political parties threatens governability The loss of credibility of mainstream political parties threatens governability beyond the next elections. The central government’s lack of control over the beyond the next elections. The central government’s lack of control over the provinces has brought the issue of fiscal federalism to the fore.provinces has brought the issue of fiscal federalism to the fore.
A R G E N T I N AA R G E N T I N AFactsheetFactsheet
A R G E N T I N AA R G E N T I N AFactsheetFactsheet
Appendix. Argentina. Factsheet
Chamber of the Americas R. Biasca & Associates Inc.
Appendix. Argentina. Factsheet
Chamber of the Americas
Policy issuesPolicy issuesPolicy issuesPolicy issues
A new policy framework needs to be formulated following the abandonment A new policy framework needs to be formulated following the abandonment of the Convertibility Plan, the currency board introduced in 1991, at end-2001 of the Convertibility Plan, the currency board introduced in 1991, at end-2001 and the shift to a floating exchange rate in February 2002. A disciplined fiscal and the shift to a floating exchange rate in February 2002. A disciplined fiscal stance will be important if the authorities are to stabilise the economy and to stance will be important if the authorities are to stabilise the economy and to secure the support of the IMF, so paving the way for a formal restructuring of secure the support of the IMF, so paving the way for a formal restructuring of defaulted debt and a recovery of confidence. A collapse in tax revenue will defaulted debt and a recovery of confidence. A collapse in tax revenue will complicate fiscal policy, leading the government to rely on heterodox measures complicate fiscal policy, leading the government to rely on heterodox measures such as taxes on exports. The currency board having been abandoned, the Banco such as taxes on exports. The currency board having been abandoned, the Banco Central de la Republica Argentina (BCRA, the Central Bank) has reassumed Central de la Republica Argentina (BCRA, the Central Bank) has reassumed responsibility for monetary policy, including the functions of lender of last resort. responsibility for monetary policy, including the functions of lender of last resort. Concerns exists that because it lacks independence the Central Bank will print Concerns exists that because it lacks independence the Central Bank will print money to finance the fiscal deficit. The heavy issuance of quasi-currenciesmoney to finance the fiscal deficit. The heavy issuance of quasi-currenciesby provinces to meet salary payments is also causing concern.by provinces to meet salary payments is also causing concern.
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ARGENTINAARGENTINA USUS
19981998 19991999 20002000 20012001 20012001
GDP per head ($ at PPP)GDP per head ($ at PPP) 10,90510,905 10,55310,553 10,56010,560 10,21010,210 35,45035,450
GDP (% real change per year)GDP (% real change per year) 3,853,85 -3.39-3.39 -0.79-0.79 -4.41-4.41 0.250.25
Government consumptionGovernment consumption 12.5012.50 13.7213.72 13.7813.78 14.1614.16 18.4318.43
Budget balance (% of GDP)Budget balance (% of GDP) -1.57-1.57 -3.57-3.57 -2.58-2.58 -3.34-3.34 1.271.27
Consumer prices (% change pa; average)Consumer prices (% change pa; average) 0.890.89 -1.18-1.18 -0.90-0.90 -1.11-1.11 -2.83-2.83
Public debt (% of GDP)Public debt (% of GDP) 37.5837.58 42.9942.99 43.5343.53 49.4049.40 57.5257.52
Labour costs per hour (USD)Labour costs per hour (USD) 3.403.40 3.333.33 3.233.23 3.103.10 20.6720.67
Recorded unemployment (%)Recorded unemployment (%) 11.8011.80 13.0313.03 14.5514.55 16.4016.40 4.794.79
Current-account balance/GDPCurrent-account balance/GDP -4,89-4,89 -4.25-4.25 -3.16-3.16 -1.60-1.60 -3.90-3.90
Foreign-exchange reserves (bn$)Foreign-exchange reserves (bn$) 2424 2626 2525 1414 5757
Economic dataSep. 20th 2002From the Economist Intelligence UnitSource: Country Data
Economic dataSep. 20th 2002From the Economist Intelligence UnitSource: Country Data
Appendix. Argentina. Factsheet
Chamber of the Americas R. Biasca & Associates Inc.
Chamber of the Americas
Foreign tradeForeign tradeForeign tradeForeign tradeThe trade surplus widened and the current-account deficit narrowed in 2001The trade surplus widened and the current-account deficit narrowed in 2001
in response to depressed domestic demand and the lack of financing.in response to depressed domestic demand and the lack of financing.
TaxationTaxationTaxationTaxationThe value-added tax (VAT) rate is 21%. Exports are exempted from VAT. The corporate andThe value-added tax (VAT) rate is 21%. Exports are exempted from VAT. The corporate and
individual income-tax rates are both –35%. A tax on financial transactions instituted in individual income-tax rates are both –35%. A tax on financial transactions instituted in April April
2001 as an emergency fiscal measure will remain in force at least until late 2002. 2001 as an emergency fiscal measure will remain in force at least until late 2002.
An additional tax on exports was introduced in March 2002.An additional tax on exports was introduced in March 2002.
Major exports 2000Major exports 2000
ManufacturesManufactures
Processed agricultural productsProcessed agricultural products
Primary productsPrimary products
FuelsFuels
% of total% of total
31.031.0
30.130.1
20.620.6
18.318.3
Major imports 2000Major imports 2000
Intermediate goodsIntermediate goods
Capital goodsCapital goods
Consumer goodsConsumer goods
Capital goods parts & accesoriesCapital goods parts & accesories
% of total% of total
33.433.4
23.523.5
18.218.2
17.217.2
Leading markets 2000Leading markets 2000
Mercosur Mercosur
EUEU
NAFTA NAFTA
% of total% of total
32.032.0
17.517.5
14.214.2
Leading suppliers 2000Leading suppliers 2000
Mercosur Mercosur
EUEU
NAFTA NAFTA
% of total% of total
28.628.6
22.922.9
22.422.4
R. Biasca & Associates Inc.
Rodolfo E. Biasca Business Transformation Specialist
Impressive record as University Professor and Management Consultant Excellent Managerial Experience.
An argentine business magazine included R.Biasca in a short list of local management gurus. He is 58 years old and has had an intensive professional life as manager, consultant , and author. He has studied/worked in more than 200 organizations in 24 countries. A brief description follows.
Business Administration + Economics + Industrial Engineering + Information Technology Background (MS,MBA,DBA). Buenos Aires National University: Industrial Engineering and Computer Science. University of California, Berkeley: Business Administration. Stanford University : Economics. Executive Programs in INSEAD (France),AOTS (Japan), Wharton, Kellogg, Columbia University. Additional graduate courses at Harvard University, New York University, University of Minnesota and DV-Schule (Germany).
Management consultant and Manager Has worked in 120 firms in various industries (service and manufacturing firms) as consultant and manager in different levels and areas Present position: President of R.Biasca & Associates. This small consulting firm is affiliated to the Valuation Research Group (www.valuationresearch.com) and to Lajaconet (www.lajaconet.com). Has worked as United Nations Expert. Some international firms: Gillette, Siemens, Total, Baker-Hughes, Dekalb, Andre & Cie, Sherwin Williams, Cargill, Danfoss, Kraft-Nabisco.
University professor, seminar leader and author. Part-time professor. Major: Strategic Management ,Business Transformation , Productivity. Currently: Universidad Argentina de la Empresa (UADE University, Argentina, www.uade.edu.ar ), Executive Education Department, Management Area Coordinator and Professor. Management Dept.: Full Professor. Has taught in 41 universities in 19 countries, since 1966. Has presented over 400 management seminars in several countries. Has delivered 65 in-company seminars. Author of 12 books,42 booklets,125 papers. Main books: “Are we competitive?” (October 2001); “Results. The Formula” (2000); “Results. Action” (2000). These three last books have with an Internet appendix: www.biasca.com/results. Previous books were: ”Change Management” (1998, with an Internet Appendix: http://www.biasca.com/change; 2000 as e-book in www.e-libro.net), “Intentional Renewal” (1997), ”Resizing” (1991,1995,1997,1998), ”Downsizing” (1989), ”Efficiency” (1988,1994), ”Productivity” (1984).
Officer in professional organizations. In 2001: President, American Institute of Industrial Engineers (IIE), Argentina Chapter; President, H.H.Humphrey Alumni Association in Argentina. Officer of the Argentine Fulbright Association. In October 2000, he joined the Argentine Engineering Academy as full member. In July 2002, he was designated full member of the Pan American Academy of Engineering.
Awards. Recipient of 12 scholarships/fellowships/grants (three from the US Government and one from the Japanese Government) and 23 awards. Listed in 19 “Who’s Who” type books.
R. BIASCA & ASSOCIATES
HHIISSTTOORRYY R. Biasca & Associates is a small and prestigious argentine consulting firm in the change management field. R. Biasca is one of the argentine “management gurues” and his books “Resizing” and “Change Management” were best - sellers in Latin America in the last 10 years. Three additional new books were published during 2000 - 2001). The firm is involved in consulting since 1977 and management training since 1972. More than 120 companies in Argentina and other countries can give references. Since 1996 it belongs to the Valuation Research Group to provide valuation consulting and financing in business transformation projects. Since September 2002, R. Biasca & Associates is registered as a US firm. With offices near Denver, Colorado, it will provide education and training service to US companies with Hispanic personnel. From this office the growing list of clients in Mexico and Central America, will be helped. VVIISSIIOONN To be the an excellent management consulting company in Argentina in the competitive improvement practice. MMIISSSSIIOONN To offer clients assistance to improve their business substantially. SSCCOOPPEE Services involve consulting projects, counseling and management training activities in the following subjects:
Corporate Restructurings. Business Strategy. Mergers, Acquisitions, Alliances. Change Management. Performance Management. Appraisal of tangible and intangible assets. Valuation Consulting. Corporate Financing.
AADDDDRREESSSS IINN AARRGGEENNTTIINNAA AADDDDRREESSSS IINN TTHHEE UUSS Franklin D. Roosevelt 2445. Piso 10 1448 Kenton Street. Aurora, Colorado 80010 C1428 BOK. Buenos Aires. E-Mail: info@biasca.com Telefax: (54-11) 4788-9851 Internet: http://www.biasca.com