...International Business Business Customs Paper County: Brazil When conducting business in Brazil, there is a lot to know about how this country interprets gestures, how they perceive Americans and the best ways to conduct business that will impress them. There are some formalities and policies we may not be aware of in the US. They are important to know in order to conduct successful business in Brazil. Relationship building is key, along with formal attitude and attire and always showing professionalism. Brazil is quite different from the US, so remembering and practicing all of the following will help to insure your business will be successful in Brazil. One important aspect to understand when conducting business with Brazil is their negotiations. In Brazil, business is negotiated in a way that shows Brazilians expect things to go “their way.” This is because they do not have a lot of experience negotiating with other countries. However, younger generations may be more flexible in this aspect. (Global Negotiation Resources) Brazilians also do not like loud and boisterous behavior or anyone who acts rude or impatient towards them. No matter how enthusiastic or heated a discussion may get, theses emotions should never be shown. When initiating contact with a Brazilian, choosing to use a local intermediary, or despachante, is highly recommeneded. This will help create a connection between US and Brazilian culture and business will be more effective. (Global...
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...Brazil & Gross Domestic Product ECON224-1102A-11: Macroeconomics May 22, 2011 Abstract As an employee of the World Bank, I have been asked to research an economic concern in a South American country and write a report on my findings. The country I selected is Brazil. I chose to research data sets for the economic concern, Gross Domestic Product (GDP). In this report I will discuss the relationship between GDP and Brazil’s economy and trends in data sets, which are supported with statistical evidence. The Federative Republic of Brazil, commonly known as Brazil, is the largest country in South America and the world's fifth largest country by geographical area and by population. With over 190 million people it is the largest Portuguese-speaking country in the world and the only one in the Americas. There are only two countries in South America that Brazils borders do not touch, Ecuador and Chile. “Its current Constitution defines Brazil as a Federal Republic,” (Wikipedia, 2011). According to the International Monetary Fund and the World Bank (2011), the Brazilian economy is the world's fastest growing ranking as the eighth largest economy at market exchange rates and the seventh largest by purchasing power parity (PPP). Its current GDP (PPP) per capita is $10,200, putting Brazil in the 64th position according to World Bank data. The gross domestic product (GDP) is one of the measures of national income and input for a given country's economy. GDP is defined as the...
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...Brazil occupies a large area along the eastern coast of South America and includes much of the continent's interior,[141] sharing land borders with Uruguay to the south; Argentina and Paraguay to the southwest; Bolivia and Peru to the west; Colombia to the northwest; and Venezuela, Guyana, Suriname and the French overseas department of French Guiana to the north The Ministry of External Relations is responsible for managing the foreign relations of Brazil. Brazil is a significant political and economic power in Latin America and a key player on the world stage.[1] Brazil's foreign policy reflects its role as a regional power and a potential world power and is designed to help protect the country's national interests, national security, ideological goals, and economic prosperity. Between World War II and 1990, both democratic and military governments sought to expand Brazil's influence in the world by pursuing a state-led industrial policy and an independent foreign policy. Brazilian foreign policy has recently aimed to strengthen ties with other South American countries, engage in multilateral diplomacy through the United Nations and the Organization of American States, and act at times as a countervailing force to U.S. political and economic influence in Latin America. Contents * 1 Overview * 2 Foreign policy * 2.1 Lula da Silva administration * 2.2 Rousseff administration * 3 Regional policy * 4 Diplomatic relations * 5 United Nations politics ...
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...oing Business in Brazil * Market Overview * Market Challenges * Market Opportunities * Market Entry Strategy Market Overview The Federative Republic of Brazil is Latin America's biggest economy and is the fifth largest country in the world in terms of land mass and population with about 192 million people. Brazil’s economy, the 6th largest in the world, grew 2.7% in 2011. Growth slowed due to reduced demand for Brazilian exports in Europe and Asia, despite solid domestic demand and a growing middle class. During the past decade, the country has maintained macroeconomic policies that controlled inflation and promoted economic growth. Inflation was at 6.5% in 2011, and urban unemployment reached a historic low of 6.0%. Interest rates, though high compared to the rest of the world, remained historically low at the Central Bank benchmark rate of 8.0% as of July 2012. In 2011, the U.S. was Brazil’s largest source of imports followed by China, Argentina, Germany, and South Korea. U.S. merchandise exports to Brazil in 2011 were US$42.9 billion, and U.S. imports from Brazil were US$31.3 billion. Market Challenges Brazil has a large and diversified economy that offers U.S. companies many opportunities to export their goods and services, and U.S. exports are increasing rapidly. Doing business in Brazil requires intimate knowledge of the local environment, including both the explicit as well as implicit costs of doing business (referred to as the “Custo Brasil”)...
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...position in this highly fragmented and competative industry and successfully expand into new territories, Grupo Bimbo needs to have a strong presence in Brazil, overcome its administrative and cultural challenges in the US, and gain a strong position in China. Changes to the US Market In the US, the baking industry has been hurt by the advent of the low-carb movement which decreased the consumer demand for bread products. (Per capita bread consumption in the US decreased by 2 Kg between 1998 and 2006). The company is also under pressure from strong retail stores and supermarkets to keep prices low while the wages keep increasing due to unionization of its workers and truckers. To overcome the administrative and cultural distance in the US, Grupo Bimbo should produce healthier choices and earn a price premium by improving quality. Since it is difficult to bust the union, the company should create an incentive program to get drivers and employees to improve their efficiency. Improve Profitability in Brazil In order to dominate South America, Grupo Bimbo has to dominate Brazil. What they didn’t account for however, was cultural distance. The company tried to replicate its success in Brazil by following the exact same strategy and operation as Mexico. It turns out that the sweet and industrial bread consumption in Brazil is much lower than Mexico and that...
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...in order to market his coffee appropriately as Tim would not want to have to keep his supplier a secret if a consumer asks where he gets his coffee from. The country I have chosen to buy coffee from would be Brazil. According to an article in Business Week, Brazil is the largest coffee producing country in the world (Businessweek.com). Brazil produces many different types of coffee beans and will potentially sell over 48.6 million bags of coffee in the year 2013 (businessweek.com). I have chose Brazil because since 1988 they have came a long way with environmental standards and also their trade policies when it comes to exporting goods. In 2011, Brazil was the U. S. largest source of imports and has many opportunities for growth for companies that want to do business in this country (export.gov). The Strauss Company located in Brazil would be the company I would use to get my coffee imported from. In 2000, the Strauss Company acquired Café Très Coracoes which is located in Brazil and in 2005 became the 2nd largest coffee company in Brazil (export.gov). This is the company I would chose do to the fact that they took a chance as well in the coffee market in Brazil and it paid off. This company knows what it takes to be successful and if you build a good relationship with them they could pass on...
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...Greece and Brazil: A Comparison of the Costs and Benefits Associated with Free Trade Policies and Restrictive Trade Policies. Introduction The countries of Greece and Brazil have experienced unique situations in both economic conditions. These situations brought about significant changes in policy, which resulted in several events having both negative and positive impacts on each country’s development, and most importantly, international trade. This paper will also examine the economic structure of both Greece and Brazil, while identifying the similarities and differences of these structures. Greece became a member of the European Union in the 1980’s and participated in the free trade environment that was and is a representation of the EU. Brazil, on the other hand, practices protectionism which also had both a negative and positive impact on the country. This paper looks at both the positive and the negative impacts of each country’s trade policies and practices. Historical Insight A Brief History of Greece Greece (The Hellenic Republic) is located on the far south of the Balkan Peninsula, and consists of over 1400 islands, the largest of which is Crete, and the capital is Athens. Greece has a population of around 11 million people as at 2013, according to the World Bank. Its GDP is 242.2, GDP growth -3.3% and inflation is -0.9% as also confirmed by the World Bank in 2013, see Table 1. Greece has a parliamentary democratic system, the main political parties are ...
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...Brazil’s major weaknesses. Brazil has a complex high tax and labor environment. Brazil is having a financial crisis, with a lot of unemployment. For most of the jobs, the salary is very low. They suffer from underinvestment in the electrical generation, and it makes them prone to blackouts. The Brazilian population is very weak in the English language skills, because about 99% speak Portuguese. Brazil has a shortage of international experience with technical and managerial ranks. It can become a problem for multinationals with operations coming to Brazil. Only about 7% of Brazil’s populations have a University degree. Brazil’s currency has fluctuated over several decades. In the bigger cities like Rio de Janeriro and Sao Paulo they have more crime and social problems. Brazil IT sourcing is small but has some potential in the future. I will now talk about all of Brazil’s strengths. They have a tradition of a very strong Engineering schools with high quality graduates. In their Banks they have a very sophisticated automated banking with dynamic domestic market for IT software and services. The Brazilian’s are more westernized and they practice culture and values. It can be shared understandings in having good working relationships that are effectiveness. It will bring good communications with companies in the US and Western Europe. Brazil has about 300,000 that are employed in the IT services. By having a minimal time zone it gives Brazil an advantage compared to...
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...Initial situation: Natura, found by Mr. Luiz Seabra in 1969 in Sao Paulo, is a cosmetic company offering a wide range of products. The company was originally found on different values such as building a better world based on harmony with oneself, with others and with nature. In 1969, the company was selling its product only in one store in an upper-class neighborhood in Sao Paulo. The products were manufactured in a small laboratory. Few years after its foundation, the company has decided to expand its distribution by using a direct sale distribution model. This distribution model consists to sell a product from person to person and was an advantage for the company because they were able to foster the relationship with the clients and to extend the distribution at low cost. This direct sale strategy was organized in a simple structure. Natura hired some sales supervisors that have to hire sales representatives who were trained and monitored by the supervisors. This strategy was interesting for the company because the sales representatives had no work attachment with Natura, which gave flexibility for the company. Their salary was just a commission on the products sold. The customers had to select products on catalogues and placed their orders threw a call center or company’s website. Then the products were delivered to the sales representatives in 24 hours and delivered to the customers. This directs sales system is an interesting system for Natura, because...
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...SUBMITTED TO THE SCHOOL OF BUSINESS IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTERS OF SCIENCE IN BUSINESS MANAGEMENT & INTERNATIONAL RELATIONS J. Sebastian Smith The Bahamas October 2011 Title Strategic Implications from the People’s Republic of China’s Influence in the Americas: Potential Consequences facing the United States, Brazil &Venezuela Abstract This research seeks to examine the strategic implications facing the United States of America’s due to its benign interest in the Caribbean and Latin America (Americas) given the People’s Republic of China (China) increasing economic interest in the region. It is intended to first define the current security environment of the Americas and the relations between Brazil and Venezuela with that of the United States of America (United States) and China. Thereafter, China’s economic and domestic agenda in the Americas will be examined with hypotheses of the emerging global power potential growth success, challenges or possible collapse in her foreign policy. The likely consequences facing Brazil, Venezuela and the United States will also be examined. The assessment will be done across a continuum of China’s realized economic growth, development of hostile relations due to competition for scarce energy sources or possible collapse due to the country’s internal problems. Finally, the research seeks to encourage proactive thinking by the United States on China’s increasing political and...
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...beginning with L-Z will take the test in 1LIB 66 •Please bring a #2 pencil. Friday: students will go to their scheduled discussion sections and take the second part of the exam. Format: 3 mini-essay answer; 40-60 multiple-choice questions; 5-10 fill-in-the-blank questions; and 5-10 two-sentence answers. Short-essay answer: concisely answer the following questions. Be prepared to answer all of them. ACTUAL QUESTIONS FOR THE EXAM 1) Consider what you learned in lecture and from the readings by Rohter, Guimarães, Goldstein, Vaughan, and Stout. Discuss how people are racialized in Brazil and Cuba. Be sure to cover the following issues: a. What historical conditions explain the high level of inequality in these countries? Why are socio-economic conditions connected to race? (10 pts) b. Provide one concrete example from the readings that shows how constructions of race in Brazil and Cuba are similar, and one concrete example from the readings to show how they are different (10 pts) c. Discuss why identities are mediated and how media is used as part of the process of racialization (10 pts). Use one example provided in class to explain your argument (10 pts). 2) Considering the movie “Even the Rain” and from the readings by Barron, Thomson, Spronk, and Monasterios discuss the connections between extraction process, natural resources and social movements in Bolivia. a. Explain what the connections are between the extraction process, natural resources and...
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...Full Service Travel in Brazil Explore the World LLC Team C: MGMT 598 International Business Professor Wendy Finlay December 15, 2013 Table of Contents 1.0 Executive Summary3 2.0 Country Factors3 2.1 Political and Legal4 2.2 Economic4 2.3 Cultural5 3.0 Competition6 4.0 Market Opportunity9 5.0 SWOT Analysis: Implications12 5.1 Strengths12 5.2 Weaknesses14 5.3 Opportunities15 5.4 Threats16 6.0 Business Objectives16 7.0 Strategic Thrust17 8.0 Tactics19 8.1 Human Resources19 8.1.1 Recruiting and Staffing19 8.1.2 Training and Development20 8.1.3 Performance Management21 8.1.4 Compensation & Rewards21 8.2 Financial Risks22 8.3 Products and Services23 8.4 Pricing24 8.5 Promotion25 8.6 Distribution27 9.0 Measurement of Results28 Global Business Strategy: Full Service Travel in Brazil 1.0 Executive Summary Explore the World LLC desires to create a concierge, high-end travel agency/experience in Brazil. Our new office will be located in a place yet to be determined in Brazil and we are thinking of transportation, accommodations, private guided tours, cultural lessons, and language lessons. Essentially, the business plans to make the experience more than just seeing the sights, but experiencing the culture and lifestyle as a whole. This service can be used by both business and vacation travelers. In addition to direct personal service we will have a website to allow people to survey our offerings...
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...REVIEW MATERIALS: Conceptual considerations: Discuss paradoxes and four orientations with which John Chasteen characterizes the changing foci of U.S. thinking on Latin America from the early 20th century to the present. •Racial/Cultural and Environmental Determinism: An image by Americans which suggested that Latin Americans are “Hot-Blooded Latins” with too much “non-white” blood, and do not have the self discipline needed in order to make a more democratic, stable society. There were Catholics, lacking a protestant work ethic. Americans also pictured Latin Americans to be lazy individuals. •Modernization Theory: Once the previous idea was settled, it came to the reality that the Latin American countries had to go through modernization, such as the United States, and their feeble network on which their society rested upon was that being criticized. •Dependency Theory: Students were sure that these two previous explanations were merely methods to blame the victims of abuse. They believed that Latin American economies stood in a dependent position relative to the world’s industrial powers. Therefore other nations took their overpowering stand, and forestalled Latin America’s industrialization. “Economic dependency” is why the nation did not follow the path it was supposed to follow. •Social Constructionism: The way race, gender, class, and national identities are “constructed” in people’s minds. Discuss Michel Rolph Trouillot’s theory of historical narratives ...
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...Brazil is Latin America's biggest economy and the 6th largest economy in the world. Bolstered by strong domestic demand and a growing middle class, Brazil weathered the economic downturn better than most major economies and grew 7.5% last year, compared to an estimated 2.3% growth in the G7 countries and 2.8% in the United States. There are few, if any, sectors in Brazil that do not have excellent short term opportunities. Certain sectors have experienced growths higher than average, such as air transportation, telecom, oil and gas, and mining. Other promising investment areas includes: agriculture, agricultural equipment, building and construction, electrical power, safety and security devices, environmental technologies, nuclear power, retail and transportation Energy, oil and gas: The Brazilian national oil company Petrobras' expansion may represent the largest global business opportunity in the oil & gas sector between the years 2011-20. Brazil is also targeting nuclear energy as an area for expansion in order to diversify its energy matrix and keep up with increased demand in a growing economy. IT and Telecom Services & Equipment: Brazil is one of the largest IT markets within the emerging economies. IT end-user spending in Brazil is expected to grow to $134 billion in 2014. The largest share of spending will be on telecom equipment, representing 72% of the market, followed by IT services at 13.3%, and computing hardware at 11.9%. Transportation / Infrastructure...
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...Magazine Luiza: Building a Retail Model of “Courting the Poor” a. Identify the retail model Magazine Luiza employed to grow to the third largest nonfood retailer in Brazil. The key of retail model of Magazine Luiza was its genuinely customer centered and employee centered culture. Looking at the retail market of Brazil in 2004, it was a large and diverse markets, with 84% of its 47 million households were located in urban areas, and regional development and income distribution were very even. In addition, high inflation, interest rates, and cost of capital, which impacted the costs of inventory, marketing, and distribution – made alternative channels such as catalog-based retailing practically nonexistent, and facilitated the growth of small family-run operations and medium-sized chains that developed local expertise. Because of the macro level environment, Magazine Luiza tried to build its retail model that was truly customer centered and matched with the industrial phase of Brazil. Focusing on low-income segments, the major elements of the retail model can be viewed separated in following perspectives: operational evolution, deep customer relationships, people and management and innovative use of technology. I will discuss these building blocks of its retail model in the following paragraphs. Operational Evolution: In order to better serve low-income customers, Magazine Luiza put much effort in operation innovation in order to encourage growth while...
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