...Green Mountain Coffee Roasters Presented Opportunity: International Expansion to Brazil Dear Mr. Kelly, Green Mountain Coffee Roasters (GMCR) is a company that is in need of a change. As we combed through the company’s most recent 10-K, we were presented with two possible domestic challenges, the first being that GMCR was about to lose its patent rights to its Keurig K-cup model and that there were stagnating sales. Upon further research and analysis, we found that GMCR has come up with solutions to counter both challenges. In response to the impending patent loss, Green Mountain Coffee has a new machine in the works that will only recognize the brand’s specific Keurig K-cup products through RIFDs. This new machine will enable GMCR to combat any possible competitors or imitators and will allow the company to avoid what was almost a crisis situation. Additionally, the projected sales forecast for the next few years is anticipated to grow exponentially. With the company’s most imminent challenges solved, it seems logical that GMCR look at its possible opportunities and embark on a new business venture. Green Mountain has an extremely weak international presence, with its major sales coming predominantly from North America. The company needs to take advantage of an incredible opportunity it has been presented with and bring its coffee, Keurig machines and K-cups to the international market of Brazil by way of a flagship café based out of Rio de Janeiro. Green Mountain can expand...
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...| | Demographics Brazil is the largest country in South America that specializes in agriculture mining, and the manufacturing service, however, the Brazilian Aftermarket is one that is on the rise. Brazil is the 5th largest country in the world that is home to 205 million people, with the majority of the people living along the coast. The median age is 30.7 with 43.7% of the population being in the 25-54 year range. More than half of Brazil’s population, 53% is considered to be the middle class, however, poverty levels still remain high. The United States, on the other hand, is the third most populous country with 322 million people. Depending on the location, and class model used, the middle class can constitute anywhere from 25%-66% of American households. The median age is also a little higher than that of Brazil’s at 36.8 years (The World Factbook , 2015). The Market Brazil has a very large market with many positive advantages. The nation’s highly protected economy offers limited opportunities for significantly increased exports. The United States shipped $1.1 Billion in auto parts exports to Brazil in 2014. The International Trade Administration ranked Brazil as the 23 best market for original equipment parts and 27 for aftermarket products through 2020. For most firms seeking access to the Brazilian Market, it is through the supply chains of vehicle assemblers or large parts firms that are already producing in the market. Brazil is the fourth largest auto...
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...Short Writing Assignment Is Brazil a Multiracial Democracy? There are so many comparisons between Brazil and the United States of America. Both Brazil and the United States of America are the largest multiracial societies in the Americas, as well they both share a history of slavery, and plantation slavery at that, and finally both societies have confronted the legacy of slavery in the form of deeply entrenched racial inequality(Racial Inequality in Brazil and the United States, page 229). With all these similarities you would imagine that they both would be making strides toward a more equal society. It is safe to safe that the United States of America is at a state of more equality than any time in the history of this country, but where does that put Brazil? Are they making the same strides as the United States of America? Brazil is most definitely a Multiracial population, which would lead you to believe that it is a multiracial democracy, but that assumption would be far from the truth based on all the research that I have done and based on the articles that I have read. In the year 1991 51.6% of Brazil’s population was white, while 42.6% of the population was brown, and 4%was black (Demographic Censuses). When you look at that compared to the United States of America in 1980 when 83% of the population was white, while only 11.7% of the population was black and 5% of the population had some other orientation (1980 Census of Population). When you look at Trivett 2 ...
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...Legando Universidade (Legacy University) INVESTMENT IN EMERGING MARKETS Target Country - BRAZIL Country Industry - EDUCATION Proposal - DISTANCE EDUCATION COMPANY Legando Universade Country: Brazil 1 Contents Country: Brazil............................................................................................................................................... 2 Culture .......................................................................................................................................................... 2 Economy........................................................................................................................................................ 3 Brazil GDP.................................................................................................................................................. 4 Unemployment and Consumer Spending ................................................................................................. 6 Industry Analysis ........................................................................................................................................... 7 Secondary Education in Brazil ................................................................................................................... 7 Private Education ...................................................................................................................................... 8 Online Secondary Education...
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...Brazil is a country that has seen income inequality drop of the last decade, unemployment is at near record lows, and there has been substantial middle class growth. By most estimates, 40 million people have been pulled out of poverty in the last decade and extreme poverty had been reduced by 89 percent. Nocera, Joe; "Does Brazil Have the Answer," The New York Times, 20 Jan, 2014. Brazil is the largest of the Latin American countries and covers nearly half (47.3%) of the continent of South America. It occupies an area of 3,386, 470 square miles and is the fifth largest country in the world after Russia, Canada, China, and the United States. According to the Central Intelligence Agencies World Fact Book, Brazil's economy is characterized by a large and well-developed agriculture, mining, manufacturing , and service sector. Once a third world country, Brazil has experienced rapid growth and boasts a rapidly expanding middle class. Since 2003, Brazil has steadily improved its macroeconomic stability, building up foreign reserves, and reducing its debt profile by shifting its debt burden toward real denominated and domestically held instruments. In 2008, Brazil became a net external creditor and two ratings agencies awarded investment grade status to its debt. After strong growth in 2007 and 2008, the onset of the global financial crisis hit Brazil in 2008. Brazil experienced two quarters of recession, as global demand for Brazil's commodity-based exports dwindled...
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...due to a recent election. Furthermore, violence and revolutions complicate when traveling through the host country. Another risk that presents itself is in the form of culture shock. Even if the managers are familiar with the host country’s cultural differences, cultures also evolve throughout time. Environmentally, managers must respond to the future forecasts to determine the probable impact, and to ensure the survival and growth of the organization as it interacts with its dynamic environment (Phatak, Bhagat, and Kashlak, 2009). The host country in question here is Brazil with its booming economy and market for growth. Although, Brazil is known for its many negative connotations regarding bribery, corruption, and organized crime; the conditions in the labor market however remain favorable. Unemployment is at the lowest it has been in years and the middle class continues to grow. With the growing middle class comes demand for consumer goods, specifically in the fashion and retail departments. Inflation has remained under control with the adoption of an inflation targeting system in 1999 (Overseas Business Risk – Brail, 2012). The exchange rate continues to be an issue though with the Brazilian Real up to US$1:R$2.02. Regarding the crime...
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...1. Introduction Background/Product overview The global brand Freitag was established by the Brother Daniel and Markus Freitag producing customized bags. Freitag AG was set up in 1993 and is based in Zurich Switzerland. The two key point which gives Freitag the competitive advantage are they producing customized bags and using recycled material. The company has positioned itself as an environment friendly organisation by re-using industrial waste such as truck tarpaulins and seat belts for the bag and recycled bicycle and tires tubes which is used for the edges of the bags. The Brothers not only design bags also woman’s handbags, wallets, lap top bags, covers for apple products and the messenger bags which are only products once and many more other bags. Freitag has 9 stores around the world which are in Zürich, Berlin, Davos, Hamburg, Cologne, New York, Tokoyo, Wien and London and also uses 400 sales partners and there online shop which ships the products around the world. Each store is designed to reflect on the eco-friendly mission of the organisation one of the stores is build out of 17 recycled shipping containers and shelf’s out of recycled gym equipment’s. Freitag sold in 2011, 300.00 bags and accessories and the previous year 280.000 products. The demand for Freitag bags is very high with no competition using about 390 tons of truck tarpaulin each year however Freitag does face a challenge finding material to produce the products. Another advantage the organisation...
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...Brazil Inside brazils booming fashion industry （http://www.businessoffashion.com/2010/08/inside-brazils-booming-fashion-industry.html） A Booming Economy Undeniably, the primary force driving the current surge in the Brazilian fashion market is a healthy macroeconomic context. Brazil’s economy has been expanding steadily for years, a result of a stable political and social climate and long-term reforms set in place by the current and previous government administrations. As much of the world slid into severe recession in late 2008, Brazil continued to expand. Indeed, according to Brazil’s national statistics agency, GDP grew a record 9 percent in the first quarter 0f 2010. National Optimism The robust economy has, in turn, fed the country’s self-confidence. Whether at São Paulo Fashion Week, in the streets, or in the nation’s shopping malls, there is a palpable optimism in the air: Brazil believes in itself. This hasn’t always been the case. When queried on the main factor behind her country’s current optimism, Erika Palomino, arguably the best-known fashion journalist in Brazil, pointed out that a new-found “self-esteem” is as important as the positive numbers: “Because we are a former colony, for a long time we didn’t believe in ourselves and always looked abroad, thinking other countries did things better. That has changed.” Indeed, winning bids to host both the 2014 World Cup and the 2016 Olympics have had a major impact in boosting the country’s sense of confidence...
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...Housing and Living Conditions in Brazil Since World War II Brazil has rapidly urbanized into a country that has been steadily increasing its population over the years which has resulted in crowding in many areas of the country. Due to industrialization, many rural families have moved into the large cities. In Brazilian culture it is very common for families to live in close proximity to each other. The rapid urbanization of Brazil has caused property prices to increase which has made it difficult for many people. Due to the economic pressures of today, many extended families in the middle and lower class are having to dwell with each other in crowded living conditions just to survive. Many middle class people are forced to live in small densely populated high rise apartments and much of the lower class population is forced to live in smaller towns that are often several hours away from where they work. Clothing As in any country, the dress of the people depends a lot of the climate. Brazil has a diverse climate because it covers such a wide area of land so there are several different types of clothing that the people wear all across the country. However, the fact that Brazilians usually prefer bright colors and accessories can be seen throughout the country. In the southern region of Brazil and in the urban areas, there is a large European influence and many of these people embrace modern fashion trends. The most common item in any brazilian’s wardrobe is jeans. Men...
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...Arrival: Brazil The main point the author is making under this topic “Arrival: Brazil” is that Brazil is the largest country in South America according to its geographical size and the population it holds. Amazon rainforest is very significant to Brazil because it covers up the vast portion of the country. Brazil’s largest cities are mostly found along the coastline. Brazil was colonized by the Portuguese and they discovered that Brazil is the land enriched with fertile soil (good to grow crops) and natural resources. Brazil was one of the center of triangular trade where the slaves from Africa were brought to work on plantations such as coffee, sugar and tobacco. African slaves were also brought to work when the gold mines were discovered. Getúlio Vargas is one of the important political figure in the history of Brazil who became president and started revolution with the help of military support, urban working and middle class resulting many social and economic reforms. (I)...
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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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...Yves Rocher marketing plan in Brazil Our plan is to introduce Yves Rocher beauty products (mainly hair care products) in the Brazilian market. Yves Rocher SWOT Analysis Strengths: Leadership in vegetable cosmetic/ quality products / global brand recognition/strong innovative strategy. Weaknesses: Lack of experience in emerging countries. Opportunities: The use of natural products is rapidly growing/expansion in new markets: people in some emerging countries can be interested in foreign beauty products, in particular French ones. THREATS: Rising cost of raw materials/ huge competition in the beauty industry/ Because of the economic crisis, consumers give higher priority to their basic needs. PEST analysis of Brazil Politics: increase in minimum wage but quite high tax rates and widespread of corruption and bribery Economic : high economic growth, easier access to credit, rising purchasing power of low-income consumers Social: growing proportion of middle class Technology : increasing access to Information technologies, more investment in R&D Market Analysis Globally: The world hair care products industry witnessed 3% growth in 2010, generating revenue of approximately $49 billion and volume sales of more than 15 billion units. This market is expected to attain $58 billion in 2015 which would correspond to a growth rate of 18%. The leader in the global market is Procter & Gamble Company which has a 24.1% share of the market in values. Yves...
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...(1) As of the date of the case and as explained in the case: is Brazil leading the BRICs? Please explain and defend your position. (We will discuss more recent data in class if time.) I’d like to say that Brazil was leading the BRICs as of the date of the case. Several facets were noticed as below: • Growth of economy: Brazil had sustained an average annual GDP growth of 4% since 2000. Between 2002 and 2009, inequality and poverty had declined significantly and more than 30 million Brazilians had advanced from lower income strata to the middle class. • Brazil held important leadership positions in the Group of Twenty (G-20) and had become a major player in multilateral trade negotiations. • Brazil’ s success in World Trade Organization (WTO) disputes concerning developed country agricultural subsidies, use of WTO compulsory licensing provisions to break patents, and diplomatic negotiations with Iran had generated tensions with the United States and the European Union. • A Leading role in WTO negotiation: Brazil stood out as a leading voice of emerging markets, led the creation of the WTO G-21, a block of developing countries that negotiated collectively at WTO meetings. Whereas the United States and the European Union were at the forefront of tariff negotiations in the past, the shift in trade topics put Brazil and other middle-income countries at the center of the Doha round. • Public health: Brazil’ s government purchased drugs to treat infected patients and coordinated...
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...takes a juice of grapes,and turns it into a beautiful wine. Much like a fine wine our business has slowly expanded to the enterprise we have todayover the past 50 years. We started with 1 family vineyard in the outskirts of Rome and now we own 4 more properties in Santa Barbara County California.With the sprouting new middle class of Sao Paulo, we find a perfect place establish and nurture a new relation with the oversees market of Brazil. Much alike many of our competitors in the California wine market we have noticed an increasing trend in demand for our wine in the country of Brazil. The most noted growth was noted in the growing middle class of Brazil. Our company introduces this situation in a time of recent strains of the US-Brazillian relations. It was recently denounced that the personal emails of the Brazillian president was bugged by US Data Surveilance agencies. Through the practice of goodwill through the trade of a product widely known for its benificial properties we hope to introduce our organic wine to the people of the Sao Paulo metropolis. Bringing our wine to Sao Paulo will set our foot in the door for the greater market of South Brazil, leading to increased relations with the Brazillian people. This grant will help us reach a long time company goal of bringing our fine wines and their benifits to as many lovers of grapes as possible in the long run. Background Information/ Purpose We have done much research into the most specific market as to be...
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...I. The Brazilian Macro-Environment Investment Climate Analysis Brazil is quite interesting place for investment and many companies are entering this developing market. Its high GDP growth, large economy, developed infrastructure, liberalisation of public sector and many Foreign Direct Investments have turned this struggling country into developing nation that holds 2nd place (China is 1st) in amount of foreign capital invested into the economy. In last 5 years, Brazilian government has been quite stable and it seems that Brazil has a sound strategy when it comes to taking its economy into top performing ones. Government is introducing new, more liberal competition laws and it is introducing new forms of investments, such as PPP, or Private Public Property, where both the investor and government share the risks by holding equal stakes in the investments. But, let us not be blinded by the Brazilian marketing skills and their portraying of real investment climate. There is for sure a lot of space for improvement. We will perform a few analyses, which will give us precise insights into the environmental conditions for investing in Brazil, and through analysing this country; we shall decide what type of investment is the most suitable for Red & Green. PESTL Analysis Investment climate is the economical, institutional, policy, and regulatory environment in which firms operate. A PESTL analysis is an analysis of the external macro-environment that affects all firms....
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