Eighty-nine entrepreneurs from Argentina, Brazil, Chile, Colombia, Jordan, Mexico, South Africa and Uruguay reported that the current credit crunch has led to reduced sales, a rise in input costs and difficulty in accessing financing. In the coming year, 55% of Endeavor Entrepreneurs surveyed expect that it will be much more difficult to access financing in 2009.
In response, 84% of surveyed entrepreneurs have taken measures to protect their business; 57% have changed their business model; 36% have suspended projects; 30% have put a freeze on hiring and 18% have downsized operations.
Despite this, Endeavor Entrepreneurs expect 31% growth in 2009, benefiting from investment opportunities presented by increased buyouts and acquisitions and the ability to hire better talent.
"Historically, High-Impact Entrepreneurs in emerging markets have overcome considerable cultural and economic barriers to scale their innovative businesses," says Endeavor Co-Founder & CEO Linda Rottenberg. "As this survey shows, while this global crisis will be a great challenge, Endeavor Entrepreneurs remain optimistic. Investors and businesses contemplating their next moves in emerging markets should take these results as a strong sign of their vitality."
