Transcript Slide 1

By Lieven Cooreman
Doing Business in
Brazil
AGENDA
BRASILIDADE
BRAZILIAN AND BELGIAN FACTS AND FIGURES
MACRO REGIONS OF BRAZIL: OVERVIEW
BRAZILIAN AND BELGIAN FACTS AND FIGURES
BRAZIL´S PERFORMANCE
BRAZIL´S KEY CONCEPTS
DOING BUSINESS IN BRAZIL
WORKING PRACTICES IN BRAZIL
STRUCTURE AND HIERARCHY IN BRAZILIAN COMPANIES
BUSINESS PRACTICES IN BRAZIL
BRAZILIAN BUSINESS ETIQUETTE (DO´S AND DONT´S)
FINAL CONSIDERATIONS
What
is
?
is
The distinct
features of
the brazilian
and of Brazil.
know A bit
about
Next...
THE CULTURE
Oscar Niemeyer, Architect, 101 years old
Feijoada,
typical
dish
(stew
with
beef
and pork)
Reveillón
Rodrigo
Santoro,
in Copacabana,
Actor
RJof beans
Jorge
Amado,
Writer
One
of his
famous
film
Airton
Ruth
Cardoso,
Senna,
Race
Anthropologist
Car
Driver
Brazilian
Pelé,
Soccer
music
Player
Gisele
Bundchen,
Model
and
Film
Actress
Sculpture
of
Aleijadinho
Nossa
Senhora
Aparecida
do
Brasil
Church,
SP
Indians
| Pedro
Cabral´s
One
of the
most Álvares
important
names ship
in International Modern
In
Brazil,
itsbest-known
served
with
rice
and
accompanied
by
He
has
athe
successful
international
career,
having
joined
5
million
of
foreign
tourists
vs
4in
billion
of1280
dollars
spent
Has
become
aHis
sporting
legend.
He
made
goals
in the
He
She
ismodernized
regarded
asare
the
one
role
ofmodel
the
ofJobim
the
greatest
president´s
drivers
wife
in
the
and
history
left
a
was
of
modern
Brazilian
writers.
His
Style
popularized
by
Tom
and
Vinicius
de
Moraes.
Architecture.
buildings
are
Brasília,
and
abroad:
She
is
the
highest-paid
in
the
world.
She
has
He
was
a
Colonial
Brazil-born
sculptor
and
architect,
74%
of
Brazilian
Catholic
April
22,
1500
|
Porto
Seguro
(BA)
chopped
refried
collard
(couve
mineira),
roasted
coarse
cast
of
Lost,
The
movie
300
and
nowadays
the
movie
1363
games.
His
1st
goal
was
with
16
years
old
against
of
profound
Formula
mark
One.
on
He
Brazilian
held
the
social
record
policy.
for
most
pole
work
dealt
largely
with
the
poor
urban
black
and
UNESCO
World
The
United
Nations
appeared
on
more
magazine
covers
than
any
other
model.
noted
forArgentino.
his
works
on
and
in
various
churches
ofmulatto
Brazil.
678
thousand
ofHeritage,
direct
jobs
Evolved
from
samba
but
is
more
complex
harmonically.
flour
(farofa),
sliced
orange
and
pork
rinds
(torresmo).
CHE,
El
Argentina
in
1957.
positions
from
1989
to
1994.
communities
of
Bahia.
Headquarters in NY, among others.
LOCATION
BRAZILIAN FACTS AND FIGURES
BELGIAN FACTS AND FIGURES
Land area: 30.520 km²
Land area: 8.514.876 km²
Population: 195m
Population density: 21 km²
Population: 10m
Population density: 337 km²
Life expectancy: Men 68yrs | Women 76yrs
Life expectancy: Men 76yrs | Women
83yrs
Adult literacy: 88%
Adult literacy: 99%
Average per household: 3.5
Average per household: 2.4
Divorces per 1,000: 0.5
Divorces per 1,000: 2.4
BRAZILIAN FACTS AND FIGURES
BELGIAN FACTS AND FIGURES
Currency: Real
Currency: Euro
GDP 2008: US$ 1.9 trillions
GDP 2008: US$ 389.518 billion
GDP per capita: US$ 6,937
GDP per capita: US$36,235
Employment (% of total):
Employment (% of total):
Unemployed
9%
Agriculture
18%
Unemployed Agriculture Industry
2%
7%
23%
Industry
20%
Services
53%
Main Exports (Type):
Services
68%
Main Exports (Type):
Transport equipment & parts, Soyabeans
Metal goods and Chemical products
Destinations (% total):
Chemicals, Transport equipment,
Machinery, Food, drink and tobacco
Destinations (% total):
USA
21%
Germany
15%
Others
59%
France
13%
Argentina
8%
China
6%
Netherlands
6%
EU
56%
UK
7%
Netherlands
9%
BRAZILIAN FACTS AND FIGURES
BELGIAN FACTS AND FIGURES
Main Imports (Type):
Main Imports (Type):
Machines & electrical equipment
Food and animals
Chemical products
Machinery
Oil derivatives
Transport equipment
Transport equipment & part
Chemicals
Food, drink and tobacco
Main countries of origin:
Main countries of origin:
USA
Netherlands
15%
18%
Germany
13%
Arg
9%
Others
59%
Germany
8%
Japan
6%
EU
57%
UK
5%
France
10%
MACRO REGIONS OF BRAZIL: OVERVIEW
Economy Data
GDP (2008) – US$ 1.9 trillions
GDP Per Capita – US$ 6.937
North
10th world´s largest economy
5%
Northeast
5%
11%
Centralwest
Southeast
63%
Portion of GDP per states
South
16%
NORTH REGION
RORAIMA
AMAPÁ
3.853.327,2 km²: total area
15,022,060: population
AMAZONAS
GDP - US$ 100 billions
PARÁ
US$ 3,044 (Per Capita)
Contributes with a minor GDP
ACRE
RONDÔNIA
TOCANTINS
MAIN ACTIVITIES:
EXTRACTION
MINING EXPLOITATION
VEGETAL PLANTATION
LÁTEX
IRON
AÇAÍ
NORTHEAST REGION
CEARÁ
MARANHÃO
1.554.257,0 km²: total area
RIO GRANDE DO NORTE
PARAÍBA
PERNAMBUCO
PIAUÍ
51,609,027: population
GDP - US$ 200 billions
ALAGOAS
US$ 2,310 (Per Capita)
SERGIPE
*More than 1 billion inhabitants.
BAHIA
MAIN ACTIVITIES:
EXPLOITATION
TOURISM
PRODUCTION
OIL
In SALVADOR
SUGAR
CENTRAL-WEST REGION
MATO GROSSO
1.606.371,5 km²: total area
DISTRITO FEDERAL
13,269,517: population
GDP - US$ 100 billions
US$ 6,136 (Per Capita)
GOIÁS
* COUNTRY´S FEDERAL CAPITAL
MAIN ACTIVITIES:
MATO GROSSO DO SUL
CATTLE BREEDING
MINING
TOURISM
MANGANESE
In PANTANAL
SOUTHEAST REGION
MINAS GERAIS
924.511,292 km²: total area
77,857,758: population
ESPÍRITO SANTOS
GDP - US$ 1,2 trillions
US$ 6,499 (Per Capita)
RIO DE JANEIRO
SÃO PAULO
SOUTHEAST REGION
248.808,8 km²: total area
41,055,734: population
GDP - US$ 750 billions
US$ 10,787 (Per Capita)
SÃO PAULO
IT´S AMONG THE 5 MAJOR
METROPOLITAN AREAS IN THE WORLD.
SOME OF THE MAIN ACTIVITIES:
BOVESPA
AUTOMOTIVE
Daily trade volume
US$ 2.5 billions
PRODUCTION
Sugarcane
INDUSTRY
ETHANOL
SOUTHEAST REGION
43.696,0 km²: total area
15,561,720: population
GDP - US$ 275 billions
US$ 7,434 (Per Capita)
RIO DE JANEIRO
THE 2ND MOST RICHEST STATE OF THE
COUNTRY.
MAIN ACTIVITIES:
SIDERURGICAL
PETROLEUM
Vale do Rio Doce
Petrobrás
INDUSTRY
INDUSTRY
TOURISM
CARNIVAL
SOUTHEAST REGION
588.383 km²: total area
19,479,356: population
GDP - US$ 130 billions
US$ 4,206 (Per Capita)
SERVICE SECTOR: 47.1% of the GDP
MINAS GERAIS
INDUSTRIAL SECTOR: 44.1% of the GDP
SOME OF THE MAIN ACTIVITIES:
STEEL SIDERURGY
MINING
IN NOV 2008
INVESTMENT: MUS$ 550
PRODUCTION INCREASE
OF 5,4 ktpy TO 17,2 ktpy
Rio Paracatu
Usiminas
GOLD
200 NEW JOB POSITIONS
SALES: MUS$ 280
SOUTH REGION
575.315 km²: total area
PARANÁ
26,729,883: population
SANTA CATARINA
GDP - US$ 300 billions
RIO GRANDE DO SUL
US$ 5,549 (Per Capita)
SOME OF THE MAIN ACTIVITIES:
AUTOMOTIVE
WINE PRODUCING
VEGETAL EXTRACTION
Miolo, RS
WOOD (Pinheiro do Paraná)
Volkswagen
INDUSTRY
BRAZIL´S PERFORMANCE
BRAZILIAN BALANCE OF PAYMENTS - 2001/07
In MUS$
180000
160000
140000
120000
100000
80000
60000
40000
20000
0
2001
2002
Exports
2003
2004
Imports
2005
2006
Balance
2007
BRAZIL´S PERFORMANCE
MAIN PRODUCTS OF EXPORTS
MAIN PRODUCTS OF IMPORTS
(% OF TOTAL) – 2001/07
(% OF TOTAL) – 2001/07
Principais Mercadorias de Exportação (% total) - 2001/07
Principais Mercadorias de Importação (% total) - 2001/0
6,9%
12,6%
19,5%
2,7%
3,8%
Mat. Transporte
OTHERS
Máqs. e equip.
12,3%
2,2%
30,7%
Metalurgicos
5,2%
Soja
Quimicos
5,7% Minérios
3,4%
Petróleo e comb.
3,7%
Carnes
10,5%
4,1%
7,4% Açúcar e alcool
Calçados e couro
Papel e celulose
5,2%
Café
9,0%
5,3%
5,8%
16,5%
Demais
21,0%
6,4%
TRANSPORT MAT.
PAPER
MACHINES
CIENTIFIC EQUIP.
MACH. AND EQUIP.
MINERALS
METALLURGY
OIL AND FUEL
CHEMICAL
TEXTILES
SOYA
COFFEE
FUELS
COFFEE
SUGAR/ALCOHOL
CHEMICAL
TRANSP MATERIAL
METALS
MEAT
SHOES/LEATHER
ANIMAL/VEGETAL
OTHERS
BRAZIL´S PERFORMANCE
BRAZILIAN EXPORTS BY COUNTRY AND
CONTINENT (% OF TOTAL) – 2001/07
BRAZILIAN IMPORTS BY COUNTRY AND
CONTINENT (% OF TOTAL) – 2001/07
Importação Brasileira por País e Continente (% total) - 2001/07
Exportação Brasileira por País e Continente (% total) - 2001/07
OTHERS 10,3%
OTHERS
3,8%
3,3%
6,6%
24,8%
25,9%
Europa
7,7%
4,3%
Est. Unidos
Am. do Sul
Ásia
14,7%
17,0%
Africa
Oriente Médio
Demais
22,0%
20,0%
19,8%
19,6%
EUROPE
ASIA
EUROPE
ASIA
UNITED STATES
AFRICA
UNITED STATES
AFRICA
SOUTH AMERICA
MIDDLE EAST
SOUTH AMERICA
MIDDLE EAST
BRAZIL´S KEY CONCEPTS
FAMILY
RELATIONSHIPS
TIME
CENTRE OF ITS SOCIAL
STRUCTURE
DEPEND ON
RELATIONSHIPS WITH
OTHERS
VERY RELAXED
(* SUPERFICIALITY)
(NOT COMMON)
SPEND TIME GETTING
TO KNOW THEM
NEGOTIATIONS CAN
TAKE MUCH LONGER
KNOWING DIRECT THE
RIGHT PEOPLE HELP
MEETINGS CAN BE
DELAYED OR
CANCELLED WITHOUT
PRIOR WARNING
TEND TO BE LARGE
AND CLOSE-KNIT
NEPOTISM IN
BUSINESS
PROACTIVITY
DOING BUSINESS IN BRAZIL
CULTURAL
HERITAGE
PORTUGUESE
COLONY
LAST
DECADE
MORE EUROPEAN
THAN AMERICAN
HAS BEEN INFLUENCED BY A VARIETY OF DIVERSE
POPULATIONS AND CULTURES
BECAME IN THE 16TH CENTURY AFTER IT WAS
DISCOVERED BY THE EUROPEANS
BRAZIL HAS OPENED UP ITS ECONOMY TO FOREIGN
MARKETS AND INVESTMENT
BUSINESS INFLUENCE (SOME ANTI-AMERICANISM NOW
FADING AWAY WITH OBAMA)
WORKING PRACTICES IN BRAZIL
MEALS
ALSO SERVE TO SOCIALIZE AND SPEND TIME TOGETHER
FASHION
BRAZILIANS ARE QUITE CONSCIOUS
APPOINTMENTS
SCHEDULE 2-3 WEEKS IN ADVANCE
HIGIENE
DUE TO THE CLIME, DAILY SHOWERS
WORRY ABOUT THE WATER (COOKED FOOD)
BUREACRACY
BEND THE RULES WITH THE “JEITINHO BRASILEIRO”
LANGUAGE
PORTUGUESE (SPANISH UNDERSTOOD IN BIG CITIES)
STRUCTURE AND HIERARCHY IN BRAZILIAN COMPANIES
VERTICAL
HIERARCHIES
MEN
CLASS
ARROGANCE
DISCRIMINATION
LITTLE DELEGATION
LOW EMPOWERMENT
TEND TO DOMINATE
DETERMINED BY ECONOMIC STATUS
ASSOCIATED TO SOCIAL CLASS AND ECONOMIC STATUS
THERE ARE LAWS AGAINST IT
BUSINESS PRACTICES IN BRAZIL
HANDSHAKES
THE MOST COMMON GREETING
USE OF TITLES
NOT TOO MUCH
MEETINGS
THE INDIVIDUAL
EYE CONTACT
DISCUSSION
COFFEE
ARE PREFERRED INSTEAD OF EMAILS
MORE IMPORTANT THAN THE COMPANY
SHOWS YOU ARE PAYING ATTENTION
NEVER START BEFORE YOUR HOST DOES
DO ACCEPT. SAYING NO CAN BE SEEN AS INSULTING
BRAZILIAN BUSINESS ETIQUETTE (DO´S AND DONT´S)
EXTRA TIME
IT´S BETTER TO SCHEDULE BETWEEN MEETINGS
INTERRUPTED
EXPECT TO BE WHILE YOU ARE TALKING
GOOD CONVERSATION
TOPICS: SOCCER, FAMILY AND CHILDREN
BUSINESS
FINAL DECISIONS
FRUSTRATION
BAD
CONVERSATION
CRITICISE
DEALINGS: DON´T RUSH
AVOID PRESSING FOR
IMPATIENCE OR FEELINGS: DON´T SHOW
TOPICS: CRIME, CORRUPTION, DEFORESTATION,
ARGENTINA, POLITICS, POVERTY, RELIGION
DON´T MAKE IT PUBLICLY
FINAL CONSIDERATIONS
NORTHEAST
US$ 2,310 (Per Capita)
FLANDERS
BUSINESS ASPECTS:
DIRECT IN THEIR SPEECH
BUSINESS ASPECTS:
€ 27,356 (Per Capita)
POOR REGION
MORE RELAXED
NOT SO RELIABLE
SOUTHEAST
US$ 6,499 (Per Capita)
BUSINESS ASPECTS:
RICH REGION
MORE STRESSED
WALLONIA
STRICT TO THE
POINT
€ 19,858 (Per Capita)
BUSINESS ASPECTS:
SIMILAR IN BRAZIL (DIPLOMACY)
By Lieven Cooreman