Trends In Brazil It Outsourcing Market Research Report

Brazils economy continues to grow rapidly and

, with more evidence of a surge in IT spending in the coming years, outsourcing vendors with a base in the country are well placed to profit. In addition, there are many reasons to believe that Brazil could be a good foil for India as part of a global IT service delivery strategy.

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Table Of Contents :

SUMMARY

Impact

Ovum view

Key messages

MARKET SNAPSHOT

The Brazilian IT service market is set to grow

Functional split

Vertical analysis

Competitive snapshot

Overall

Global vendors

Local players

Rise of Indian vendors in Brazil?

BRAZIL A CONTENDER FOR OFFSHORE IT SERVICES?

Opportunities and limitations

Brazils offshore snapshot

Hidden offshore delivery value exists in Brazil

Time zone harmony

Improving linguistic abilities

Stable inflation levels

Legacy knowledge in IT services

Growth in tech-savvy labor force

Multiple urban centers

Incentive programs

Red tape makes Brazil a tough sell

Exchange rate pressure

Crime and corruption

Union strength

Taxation levels and collection methods

Brazils IT service potential is linked to domestic market

Overall economic growth

Upgrade requirements to existing IT backbone

Vertical opportunities

Growth of the SME sector

RECOMMENDATIONS

Recommendations for vendors

Attack the domestic market ferociously

Develop domestic vertical strategies

Take advantage of all available incentives

Aggressive lobbying for a better investment climate

Brazil as part of a broad offshore strategy

Look for partnering opportunities for offshore delivery

APPENDIX

Further reading

Methodology

List of Tables

Table 1: Ranking of principal offshore clients using Brazil-delivered IT

Table 2: Brazilian time zone differences

Table 3: Forecast price level increases by country

Table 4: Brazil graduation rates 20022008

Table 5: Labor force comparison by city

Table 6: Table 6 Populations of the 15 largest cities in Brazil

Table 7: World Bank Ease of Doing Business rankings

Table 8: Corruption perception rankings 2009, Latam and BRIC

Table 9: Latam and BRIC corporate income tax rate 2009

List of Figures

Figure 1: Brazil IT market projection, 20062013

Figure 2: Brazil IT market functional split, 20062013

Figure 3: Brazil IT market vertical split

Figure 4: Brazil IT market split by vendor

Figure 5: Dollar/real shift, 20082010

Figure 6: Brazil GDP growth, 20082015

Figure 7: Brazil GDP per capita, 20082015

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