mktg 481 presentation argentina
TRANSCRIPT
ARGENTINA● Current capital: Buenos Aires
● Current population: ~42 million people
● Currency: Argentine Peso
● Official language: Spanish
o English, Italian, German, French , Arabic,
Japanese, various indigenous languages
(Guarani, Quechuan, and more)
"Argentina Country Details." CountryWatch. http://www.countrywatch.com.mcc1.library.csulb.edu/cw_country.aspx?vcountry=7.
"Argentina Population 2014." Country Meters. October 4, 2014. http://countrymeters.info/en/Argentina.
HISTORY: TIMELINE● 1580: Est. Buenos Aires
● 1816: Argentina declares independence
from Spain
● 1853: Argentina establishes a
constitution and becomes a republic
● 1943-1976: Peron era
o Juan Peron rises to power, marries
Evita who later dies of cancer
o Peron flees country after army and
navy rebel
o 1956: Constitution of 1953 restored
o Peron marries Isabel Martinez
o Peron is elected President of
Argentina, dies a year later
o Isabel (VP) becomes president
until military coup leads to her exile
"Argentina History Timeline." Country Reports. http://www.countryreports.org/country/Argentina/timeline.htm.
HISTORY: TIMELINE● 1976-1983: Military Dictatorship/Dirty War
● 1982: Argentina-Britain war
o War over control of Falkland Islands
o Argentina military gov’t collapse
o Ends in repression
o Argentina surrenders
● 2001-2002: Adolfo Rodriguez Saa,
Fernando de la Rua, Eduardo Duhalde
● 2003: Nestor Kirchner becomes president
● 2007: Cristina Fernández de Kirchner
becomes president
● 2010: Death of Nestor Kirchner
● 2011: Cristina wins second term
"Argentina History Timeline." Country Reports. http://www.countryreports.org/country/Argentina/timeline.htm.
CULTURE: DANCE AND FOOD
● Best known for the tango
● Cuisine is heavily
influenced by Europe
and is rich in protein,
popular for grilling, and
abundant in pasta
o pizza, empanadas,
provoleta, milanesas Fig. 1. Fabian Perez, Love of Tango. Acrylic on canvas, 30 x 20. Available from Paragon Fine Art,
http://www.paragonfineart.com/artists/fabian-perez.html
Fig 2. Empanadas | Fig 3. Pizza
"Culture and Arts of Argentina." CountryWatch - Country Review. http://www.countrywatch.com.mcc1.library.csulb.edu/cw_topic.aspx?type=text&vcountry=7&topic=CLART.
"Typical Food of Argentina." South America CL Guide. March 14, 2014. http://www.southamerica.cl/Argentina/Food/Guide.htm.
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3
CULTURE: ART AND LITERATURE
● Depicted everyday life,
war, and fond memories
● Some famous literary
writers: Jorge Luis
Borges, Julio Cortazar,
Ernesto Sabato "Culture and Arts of Argentina." CountryWatch - Country Review. http://www.countrywatch.com.mcc1.library.csulb.edu/cw_topic.aspx?type=text&vcountry=7&topic=CLART.
Fig. 1. Antonio Berni, “Unemployment.” Acrylic on canvas, 1934.. Available from Otras Obras, http://coleccion.educ.ar/coleccion/CD5/contenidos/bernichicos/galeria/pop/obrab7.html
Fig. 2. Julio Cortazar
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2
CULTURE: CINEMA
Like other art forms,
Argentine film focused
on everyday life and
war/government
Fig. 1. La Historia Oficial (The Official Story) directed by Luis Puenzo
Fig. 2. El Secreto de sus Ojos (The Secret in their Eyes) directed by Juan Jose Campanella
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CULTURE: SPORT
● Football (Futbol) Argentina’s national sport
o FIFA Rank: #2
● Horse racing
● Tennis
"Argentina Sport and Recreation." CountryReports. http://www.countryreports.org/country/Argentina/recreation.htm.
POLITICAL ENVIRONMENTPresident Cristina Fernández
de Kirchner
● First lady of Argentina from 2003-2007
● Ran and won in 2007 in place of her
husband Nestor Kirchner
● First female Argentine president to ever
be directly elected (Isabel Peron)
Murillo, María Victoria, and Steven Levitsky. 2008. Argentina: From Kirchner to Kirchner. Journal of Democracy. 19, no. 2: 16-30.
POLITICAL ENVIRONMENTPresident Cristina
Fernández de Kirchner
● Faced economic issues at start of new term
● Suitcase Scandal
● Soybean-export Tax
● 29.8% approval rating
● Won second term in 2011
Murillo, María Victoria, and Steven Levitsky. 2008. Argentina: From
Kirchner to Kirchner. Journal of Democracy. 19, no. 2: 16-30.
Moffett, Matt. The Wall Street Journal. July 18, 2008. http://online.wsj.com/articles/SB121628376004461591.
Murillo, María Victoria, and Steven Levitsky. 2008. Argentina: From Kirchner to Kirchner. Journal of Democracy. 19, no. 2: 16-30.
Romero, Simon, and Alexei Barrionuevo. "Suitcase of Cash Tangles U.S. And 2 Latin Nations in Intrigue." The New York Times. January 11, 2008.
POLITICAL ENVIRONMENTPresident Cristina
Fernández de Kirchner
● Frente para la Victoria
party (FpV)
● 2013 Primary Elections
POLITICAL ENVIRONMENTFrente Renovador
● Sergio Massa
● Argentine General Election, 2015
● Primary Election success
● Buenos Aires
ECONOMIC CONDITIONS
● Economy has great
potential:
o Natural resources
o High literacy rate
o Agricultural exports:
dairy, soybean, corn
ECONOMIC CONDITIONS
● Historically overvalued
exchange rate leads to
devaluation of Argentine peso● 60% difference between official
and unofficial rates
● President Kirchner’s failure to
act upon issue of inflation
ECONOMIC CONDITIONS
● Lagging GDP growth rate
o 3% in 2013
o 0% in 2014 Q2
● No long-term program in place
o Trade-off of perceived
economic growth and long-
term fiscal management
ECONOMIC CONDITIONS
Default on debt, July, 2014● Defaulted on U.S. bonds
● Will further worsen foreign investment
● Worsens Standard & Poor’s credit rating
● Detrimental to future funding
● Similar to 2001 default but less wide-reaching
ECONOMIC CONDITIONS2015
● Lack of investors’ confidence under
Kirchner’s policies
● Primary election results inspiring
investment
● Frente Renovador
SOME DEMOGRAPHICS
● Urban percent of population: 92.81%
● At least some secondary education (ages
25+): 56.3%
● Literacy rate: 97.2%
"Argentina Facts." Country Facts | Government, Economy, Demographics, Education. http://country-facts.findthebest.com/l/7/Argentina.
"HDI Indicators By Country 2014." United Nations Development Programme. https://data.undp.org/dataset/HDI-Indicators-By-Country-2014/5tuc-d2a9?
"World Development Indicators." Google Public Data Explorer. https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=it_net_user_p2&idim=country:ARG:VEN:BOL&hl=en&dl=en.
ECONOMIC ANALYSIS Downside: currency depreciation
● Affordability of IT products and services.
● Margins
Bright side
● Falling grey market
● Rising incomes
● Growing penetration of credit cards
● Availability of VAT rebates on payment made by
debit cards.
PESO
GOVERNMENT SUPPORT
● Purchased netbooks for schools
● Encourages to develop IT industry
● A high-tech national development plan
(programmes)
MARKET
DRIVERS
● The 2rd largest IT market in LatAm.
● Per capita IT spending is forecast to rise from ARS 697 in 2013 to
ARS 1,577 in 2018.
● Expanding retail channels and more flexible terms.
o Carrefour and Chile’s Cencosud
● Local PC production in Tierra del Fuego State has expanded
rapidly. PC penetration is high: 40%
● Laptop sales are growing faster
● Broadband internet penetration
● Internet users: 59.9% of pop. (2013)
INTERNET
USERS
"World Development Indicators." Google Public Data Explorer.
https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=it_net_user_p2&idim=country:ARG:VEN:BOL&hl=en&dl=en.
"HDI Indicators By Country 2014." United Nations Development Programme. https://data.undp.org/dataset/HDI-Indicators-By-Country-2014/5tuc-d2a9?
"World Development Indicators." Google Public Data Explorer. https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=it_net_user_p2&idim=country:ARG:VEN:BOL&hl=en&dl=en.
59.9%
TECHNOLOGY PREVALENCE OVER TIME (PER 100 PEOPLE)
"Argentina Facts." Country Facts | Government, Economy, Demographics, Education. http://country-
facts.findthebest.com/l/7/Argentina. "Argentina Facts." Country Facts | Government, Economy, Demographics, Education. http://country-facts.findthebest.com/l/7/Argentina.
1,777 SECURE
INTERNET SERVERS
AS OF 2013
"HDI Indicators By Country 2014." United Nations Development Programme. https://data.undp.org/dataset/HDI-Indicators-By-Country-2014/5tuc-d2a9?
"World Development Indicators." Google Public Data Explorer. https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=it_net_user_p2&idim=country:ARG:VEN:BOL&hl=en&dl=en.
PC Target - Individuals (students)
Capital of Argentina: Buenos Aires
● Higher per capita income
● Higher education levels
● Accounts for 63% of household
appliance sales.