Brazil Case
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Is Brazil one of the potential countries of the future? Based on the case, Brazil is leading about in 2030 among others like Russia, India and China.
Among its main exports can find lumber, gold, sugar, tobacco, coffee. In 2010, China is the largest export market with iron ore, pellets, crude oil and soy; followed by raw cane sugar to Russia. Câmara de Comércio Exterior (CAMEX), published a list of 102 products imported from the United States that would face higher tariffs, including cotton, pharmaceuticals, automobiles, and Electronic.
Based on the statistics shown in the case, we can see that Brazil is rich in agricultural goods, being its main source of productivity income in the country.
Below is a PEST analysis, with the main features of each factor.
Political:
Political stability in the government
Democracy since 1985
Excessive bureaucracy
Economical:
Price stability
High interest rates
Appreciating exchange rate
Brazil is strengthening its economic policy and increasing public-private partnership model of doing business that attracts the private people in the world to invest.
Social:
Persistent crime
Transfer programs helped reduce extreme poverty and inequality.
High risk from factors including lifestyle, tourism, and weak public health infrastructure.
Technological:
Poor infrastructure
Product patents for pharmaceuticals, other chemicals, and foodstuffs.
Emerging global IP regime was part of a strategy to transition Brazil to higher-value-added industries.