Estrategias pais peru

A Strategy for Sustaining Growth and Prosperity for Peru
Professor Michael E. Porter Harvard Business School Urubamba, Peru November 12, 2010
This presentation draws on ideas from Professor Porter’s books and articles, in particular, Competitive Strategy (The Free Press, 1980); Competitive Advantage (The Free Press, 1985); “What is Strategy?” (Harvard Business Review, Nov/Dec 1996); “Strategyand the Internet” (Harvard Business Review, March 2001); and a forthcoming book. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of Michael E. Porter. Additional information may be found at the website of the Institute for Strategy andCompetitiveness, www.isc.hbs.edu. Version: November 27, 2009
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Copyright 2010 © Professor Michael E. Porter

Recent Performance of the Peruvian Economy
• Peru has been one of the most remarkable economic growth stories of the last decade, both compared to its own historic record and to its peers

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Copyright 2010 © Professor Michael E. Porter

Peru’s Prosperity Performance
GDP per Capita(in 1990 PPP US$)

1950-2009
CAGR: CAGR: - 0.73% CAGR: +4.41%

$6,000

+2.07%

$5,000

$4,000

$3,000

$2,000

$1,000

$0
1950 1955 1960 1965 1970 1975
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1980

1985

1990

1995

2000

2005

2009

Note: PPP using Geary Khamis calculation methodology. Source: Groningen Growth and Development Centre, Total Economy Database (June 2009)

Prosperity PerformancePPP-adjusted GDP per Capita, 2009 ($USD) $ 20,000 $ 18,000 $ 16,000 $ 14,000 $ 12,000
Brazil Mexico Malaysia Chile Panama Russia Argentina Uruguay

Selected Countries, 1999 to 2009

United States ($46,460) Canada ($37,840)

Trinidad & Tobago Venezuela Dominican Republic

$ 10,000 $ 8,000 $ 6,000
Jamaica

Costa Rica Belize

Guatemala Colombia Thailand Ecuador

Cuba

Peru
ChinaEl Salvador Bolivia Paraguay Nicaragua Honduras Philippines Indonesia Laos India Vietnam Cambodia

$ 4,000 $ 2,000 $0 0% 2%

Haiti

4%

6%

8%

10%

12%

14%

Growth of Real GDP per Capita (PPP-adjusted), CAGR, 1999 to 2009
Source: EIU (2010), authors calculations
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Recent Performance of the Peruvian Economy
• • Peru has been one of the most remarkable economic growthstories of the last decade, both compared to its own historic record and to its peers Sound macroeconomic policies since the mid 1990s, trade opening and a supportive international economic environment have allowed the country to prosper

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Copyright 2010 © Professor Michael E. Porter

Export Intensity
Exports as % GDP, 2009 80%
Trinidad & Tobago

Selected Countries

70%

PanamaThailand Vietnam

60%
Belize

50%
Honduras Costa Rica Cambodia Chile

Paraguay

40%

Bolivia Nicaragua

30%

Canada Russia

Jamaica

Ecuador Mexico

China Uruguay

Peru
Guatemala Colombia Cuba Brazil India Argentina

20%

Dominican Republic

Indonesia

El Salvador Venezuela

10%

Haiti

USA

0% -20%

-15%

-10%

-5%

0%

5%

10%

15%20%

25%

Change of Exports as Share of GDP, 1999 to 2009
Source: EIU (2010)
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Recent Performance of the Peruvian Economy
• • • Peru has been one of the most remarkable economic growth stories of the last decade, both compared to its own historic record and to its peers Sound macroeconomic policies since the mid 1990s, trade opening and a supportive international economic environmenthave allowed the country to prosper Improvements in basic security and political stability provided an important precondition for these achievements HOWEVER • Growth has been highly heterogeneous across different segments of society and different parts of the country

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Copyright 2010 © Professor Michael E. Porter

Unemployment Performance
Unemployment Rate, 2009 16%

Selected Countries...