Impact & Expertise

Press Releases

  • January 30, 2013
  • For Future Economic Growth and Value Creation, Brazil Will Require Improved Productivity

SÃO PAULO, January 30, 2013—Brazil’s productivity growth has stagnated, and if productivity does not improve, it will weigh on the country’s economy, according to a new report by The Boston Consulting Group (BCG). The report, Brazil: Confronting the Productivity Challenge, is being released today.
The report states that from 2004 through 2011, Brazil’s most liquid publicly traded companies produced an average annual total shareholder return of 19 percent. That impressive growth came mostly from gains in revenues due to a growing Brazilian middle class and global demand for Brazilian commodities.
However, according to the report, slower credit expansion and a sluggish global economy will weaken demand, so companies operating in Brazil will have to look for value creation avenues that are less dependent on pure growth. In this context, productivity emerges as the key challenge for individual companies and for Brazil’s economy as a whole.
During the past decade, Brazil’s economy grew largely by adding more people to its employed population rather than by increasing the output of each worker. This approach is not sustainable, and the country will need to improve productivity significantly to meet its aspiration of growing GDP by more than 4 percent per year. The report identifies several ways in which both companies and government can address key obstacles to accelerating productivity growth.
“In order to continue its development trajectory, Brazil needs to shift focus from the demand to the supply side, in particular enhancing productivity levels. That will require improving both hard and soft infrastructure and increasing levels of investment,” said Masao Ukon, a BCG partner and coauthor of the report.
The next decade in Brazil will impose new challenges but will also offer high rewards. What worked in the past may not be a recipe for the future. However, companies able to meet these challenges—particularly by boosting their productivity—will be better positioned to serve the sizable domestic market, take advantage of Brazil’s advantaged position in natural resources, and continue to create value.

A copy of the report can be downloaded at

To arrange an interview with one of the authors, please contact Eric Gregoire at +1 617 850 3783 or

About features the latest thinking from BCG experts as well as from CEOs, academics, and other leaders. It covers issues at the top of senior management’s agenda. It also provides unprecedented access to BCG’s extensive archive of thought leadership stretching back 50 years to the days of Bruce Henderson, the firm’s founder and one of the architects of modern management consulting. All of our content—including videos, podcasts, commentaries, and reports—can be accessed by PC, mobile, iPad, Facebook, Twitter and LinkedIn.

About The Boston Consulting Group

The Boston Consulting Group (BCG) is a global management consulting firm and the world's leading advisor on business strategy. We partner with clients from the private, public, and not-for-profit sectors in all regions to identify their highest-value opportunities, address their most critical challenges, and transform their enterprises. Our customized approach combines deep insight into the dynamics of companies and markets with close collaboration at all levels of the client organization. This ensures that our clients achieve sustainable competitive advantage, build more capable organizations, and secure lasting results. Founded in 1963, BCG is a private company with 81 offices in 45 countries.

Recent Releases

  • September 17, 2014 Three-Quarters of Chinese Car Owners Plan to Switch Brands, Boston Consulting Group Research Finds view full release
  • September 17, 2014 Banks’ Payments Businesses Are Facing New and Tall Challenges view full release
  • September 16, 2014 Working Mother Names BCG One of Its “100 Best Companies” for the Seventh Time view full release
  • September 11, 2014 BCG Takes Top Spot in Consulting Magazine’s Best Firms to Work For Survey view full release
  • September 11, 2014 BCG Global Challengers: Bigger and More Ambitious Than Ever view full release
  • September 09, 2014 Insurers Must Make Technology a Strategic Priority to Meet Consumers’ Digital Expectations view full release
  • September 03, 2014 BCG Receives Award for Pro Bono Work with Save the Children view full release
  • September 03, 2014 Rise of the Machines: BCG Projects $67 Billion Market for Robots by 2025 view full release
  • August 28, 2014 Consumer Packaged Goods Companies Must Plan for a Digital Future view full release
  • August 25, 2014 The Global Auto Industry’s Recovery Gains Traction view full release

Accelerating Out of the Great Recession

Accelerating Out of the Great RecessionThis book details what high-performing companies must do to seize advantage in a slow-growth environment. more

BCG Offices

Globe BCG has more than 80 offices around the world. Learn about our global presence.

Social Impact

We are compelled to utilize our expertise to work with humanitarian organizations that impact local communities and the world at large. More