Regional analysis of Brazil for global business venture
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Select a product/service and a country for a global business venture. Conduct global, regional, country, and product/service analyzes for your new global venture. Prepare an inclusive narrative outline illustrating the following:
a. Regional Analysis
1) Regional alliances
2) Physical environment
3) Politics
4) Economics
The product I am wanting to import is Monster energy drink and import into Brazil.
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This provides Regional analysis of Brazil for global business venture
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Select a product/service and a country for a global business venture. Conduct global, regional, country, and product/service analyzes for your new global venture. Prepare an inclusive narrative outline illustrating the following:
a. Regional Analysis
1) Regional alliances
2) Physical environment
3) Politics
4) Economics risk analysis
Politics
The Brazilian Federation is based on the indissoluble association of three autonomous political entities: the States, the Municipalities and the Federal District. A fourth entity is originated in the aforementioned association: the Union. There is no hierarchy among the political entities. The Federation is set on five fundamental principles: sovereignty, citizenship, dignity of the people, social value of labor, freedom of enterprise, and political pluralism.
There is high political risk in Brazil due to following:
There are severe regional disparities in Brazil, the southern states like Santa Catarina, São Paulo and the Federal District are well developed whereas states like Maranhão and Alagoas are not developed. This increases the political risks in Brazil.
The political risk is high because of rampant corruption in politics. Moreover public institutions are believed to be very inefficient with underpaid civil service personnel, underinvestment in business infrastructure and outrageous corruption.
There are four political parties that are active in Brazil and the government in Brazil is made of an association of three political institutions that is the States, the Municipalities and the Federal District. The association of these three entities leads to conflicts and instabilities.
The current government of Lula has emerged from a strong anti incumbency factor against the previous president Cardoso, whose government was tainted with corruption.
During Cardoso's tenure there was a spate of privatization of state-owned companies. Even public services were privatized, however, with the change in the government, there might be a reversal in the policies of the government.
Brazil's Economy in Snapshot
Brazilian economy has the highest GDP amongst Latin-American countries and its 4th in GDP per capita as per the following tables.
GDP (PPP) 2005
Rank in world Country GDP
9th Brazil
1,5 trillion of dollars
22nd Argentina
533,7 billions of dollars
29th Colombia
337,2 billion of dollars
43rd Chile
193,2 billion of dollars
50th Peru
167,2 billions of dollars
51st Venezuela
163,5 billions of dollars
70th Ecuador
57,0 billions of dollars
90th Uruguay
34,3 billions of dollars
96th Paraguay
28,3 billions of dollars
101st Bolivia
25,6 billions of dollars
157th Guyana
3,4 billions of dollars
162nd Suriname
2,8 billions of dollars
GDP per capita (PPP) 2005
Rank in ...
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