BRAZIL

Presented by,
Abhijeet Arora
Anjali.A
Vishnupriya.G
Velmurugan.C
Muthu Venkatesh Kumar
 ABOUT BRAZIL
• Brazil is the largest country in South America, and the fourth-
largest country in the world. It lies on the East Coast of South
America.
• The capital of Brazil is Brazilia.
• Brazil is probably best known as the land of the Amazon
• The mighty Amazon River, the world's second-longest river,
flows across northern Brazil.
• Brazil is one of the nations most deserving of the name "land
of contrasts, Because of its size and diversity.
• Brazil shares a border with Eastern South America bordering
Argentina, Bolivia, Colombia, French Guiana, Guyana,
Paraguay, Peru, Suriname, Uruguay, Venezuela except Chile
and Ecuador and the Atlantic Ocean.
• Brazil is a land rich in natural resources, principally iron ore,
bauxite, manganese, nickel, uranium, gold, gemstones, oil,
and timber.
• More than three centuries under Portuguese rule, Brazil
gained its independence in 1822.
SOCIO CULTURAL ENVIRONMENT
 LANGUAGE OR LANGUAGES
• Language is one of the strongest elements of Brazil's
national unity.
• Portuguese is spoken by nearly 100 percent of the
population.
• German and Italian are spoken by many Brazilians,
especially in the cities of the south.
 NON-VERBAL COMMUNICATION
• Brazil has its own distinct ways of having nonverbal
communication.
• When two friends say hello they often hug and backslap.
• When the men of Brazil greet each other, they shake hands
however do not maintain eye contact. Usually these hand shakes
will last for a long time.
• When leaving a small group of people, it is important that they
shake hands with everyone in the group.
• Women on the other hand will kiss each other on the
cheeks
• If a woman wishes to shake hands with a man, she
should extend her hand first.
• When a Brazilian wants to express appreciation, they
pinch their earlobe between their thumb and forefinger.
• The thumbs up gesture, in Brazil is meant to mean
“good” or “positive.”
 CLIMATE
• Brazil climate is characterized by five climatic regions of
Brazil: equatorial, tropical, semi-arid, highland tropical
and subtropical.
• Brazil climate varies considerably from mostly tropical
North (the equator intersects the Amazon) to temperate
zones lying below the Tropic of Capricorn.
• The seasons of Brazil climate are almost the reverse of
the seasons in Europe and the United States.
 DRESS
• Brazilians pride themselves on dressing well.
• People prefer to wear casual, informal and comfortable
clothes.
• For formal occasions, like receptions or more luxurious
parties, men mostly wear the classical suit and tie, and
women wear an appropriate formal dress.
• Men should wear conservative, dark colored business
suits. Three-piece suits typically indicate that someone is
an executive.
• Women should wear suits or dresses that are elegant
and feminine with good quality accessories. Manicures
are expected.
 FOOD HABITS
• In Brazil, people usually have three meals daily:
breakfast, lunch and dinner.
• Lunch is considered the most important meal and is
generally the heaviest.
• Rice, black beans, and manioc are the main foods for
many Brazilians.
• the principle foods consumed in Brazil are fairly uniform
across the country.
• The national dish is feijoada , a thick stew of black beans
and pieces of pork and other meats.
• Brazilians generally eat informally and like to talk during
meals.
 SENSE OF SPACE
• Brazilians have less sense of personal space.
• When speaking, they stand very close to each other.
• They are physically expressive and convey emotional
information through touch.
• Brazilians usually address teachers, doctors, priests, and
other professionals using their title followed by their first
name—Professor João, Doutora Maxine or Presidente
Henrique.
 SENSE OF TIME

• The Brazilian sense of time is very flexible.

• People are usually a little bit late for everything. This is
almost always taken into consideration.
• For example, when partying invitations read a starting
time of 8:00, most guests will not arrive until 10:00.
• In formal occasions, however, Brazilians are generally
punctual.
 MAJOR RELIGION

• Most of the Brazilian population is Christian/Roman

Catholic.
• Other religion in brazil are Protestantism, Judaism, Islam,
Umbanda, Buddhism Spiritism Native Brazilian Hinduism.

CUSTOMS AND TRADITIONS

• Carnival is a four day festival which marks the arrival of
Lent.
• The parade features samba music and a lot of dancing.
• Lemanja is a New Year's Eve is a great occasion, and is
characterized by great celebration.
• Capoeira is a kind of Brazilian martial arts.

KINSHIP SYSTEMS

• Brazilians place high value on kinship relations.

• Kinship usually mean a large extended kin group rather than
the immediate family of spouse and children.
• This large kin group, the parentela , consists of all maternal
and paternal relatives, along with in-laws.
• The parentela is at the core of social life and in time of need
ideally provides assistance to its members.
 EDUCATIONAL SYSTEM

• Primary education in Brazil is free and compulsory for

children between the ages of 7 and 14.
• Approximately 80 percent of the population aged 15 or
more years is literate.
• The central government of Brazil shares with the states
and private associations the responsibility for institutions
of higher learning.
• Brazil contained more than 850 such institutions
(including 73 universities), which had a combined annual
enrollment of about 1.4 million students.
• University of Brasília in Brasília; the University of São
Paulo, the Pontifical Catholic University of Campinas, the
Federal University of Rio de Janeiro, and the Pontifical
Catholic University of Rio Grande do Sul in Porto Alegre.
• Other institutions include schools of medicine, public
health, law, social sciences, engineering, and mining.

RECREATIONAL SYSTEM
• Brazil Sports have a very strong heritage in the country
and most of the people in Brazil regularly follow and
participate in various sports items.
• Brazil Sports include various other sports events the
country are:
• Some of them are as the following: Foot volley, Tennis,
Basketball, Auto racing , Volleyball.
• In Brazil have always been rich and have gained respect
from all over the world.
 RANKINGS IN HOFSTEDE’S DIMENSIONS
OF INDIVIDUALISM-COLLECTIVISM
• Brazil has a slightly higher Individualism (IDV) rank of 38
compared to the average Latin population score of 21.
• This is manifest in a close long-term commitment to the
member 'group', be that a family, extended family, or
extended relationships. Loyalty in a collectivist culture is
paramount, and over-rides most other societal rules.
 POWER DISTANCE

• Brazil’s Power Distance Index (PDI), according to

Hofstede, is 69 out of 100.
 MASCULINITY-FEMININITY

• Brazilian males have advantages over women in: Material

Resources, Power, Status , Authority.
 UNCERTAINTY AVOIDANCE AND
LONG TERM ORIENTATION
• Brazil's highest Hofstede Dimension is Uncertainty Avoidance
(UAI) is 76, indicating the society’s low level of tolerance for
uncertainty.
• High long-term orientation ranking signifies Brazil has respect
for tradition and supports a strong work ethic where long term
rewards are expected as a result of today’s work.
TECHNICAL ENVIRONMENT
 Telephone system
GENERAL ASSESSMENT: good working system including an
extensive microwave radio relay system and a domestic satellite
system with 64 earth stations;.

DOMESTIC: fixed-line connections have remained relatively stable

in recent years and stand at about 20 per 100 persons;
less expensive mobile-cellular technology has been a major driver
in expanding telephone service to the lower-income segments of
the population with mobile-cellular teledensity reaching 80 per
100 persons.

TELEPHONES - MAIN LINES IN USE:

41.141 million (2008)
TELEPHONES - MOBILE CELLULAR
150.641 million (2008)
• Internet users: 64.948 million (2008)
• computer connections
• broadband availability

• Number of newspapers published: 465

• Newspaper circulation numbers : 78,83,000
• number of patents filed by companies in the country:
rise of 4.9% as in 2009 from 2008
 TRANSPORTATION
RAILWAYS:

broad gauge: 5,709 km 1.600-m gauge (459 km electrified)

standard gauge: 194 km 1.440-m gauge
narrow gauge: 22,954 km 1.000-m gauge

ROADWAYS:

total: 1,751,868 km
paved: 96,353 km
unpaved: 1,655,515 km (2004)
WATERWAYS:

50,000 km (most in areas remote from industry and

population)

AIRPORTS:
Total - 4,000
Airports - with paved runways total - 721
Airports - with unpaved runways total -3,279
 CONTI……

MERCHANT MARINE:
TOTAL: 136
bulk carrier 19
by type: cargo 22
carrier 1
chemical tanker 7
container 11
liquefied gas 12
passenger/cargo 12
pertroleum tanker 45
roll on/roll off 7
ECONOMIC ENVIRONMENT
GDP 1.572 trillion (2009)
GDP per Capita $8220
GDP COMPOSITION
Agriculture 3.5%
Industry 29.7%
Services 66.8%

Gini coefficient 49.3

TOTAL NATIONAL DEBT
Domestic $103.2 billion
Foreign $216.1 billion

Inflation 4.31%
Budget Deficit 43.7 billion
Deficit as a percentage of GDP 2.9%
Debt as a percentage of GDP 42.6%
Current account deficit $24.33 billion
Current account deficit as a 1.56%
percentage of GDP
Major export industries – processed foods
cocoa beans
seeds
fruit products
Meat, animal products
vegetables
metal, vehicles
, machinery, textiles,
Major imports MACHINERY,
electrical & transport equip
CHEMICAL PRDCTS,
OIL
automotive parts, electronics,
major sources (countries) of
foreign direct investment
major stock market of the country
memberships in major economic
blocs or free trade areas.
Park Street Sydney, Australia - Foreign
direct investments have played an
important role in Brazil’s economic
development. US & EU countries,
Spain, Portugal, Germany
São Paulo Stock Exchange
WTO, NAFTA, TPA..
POLITICAL ENVIRONMENT
 DEMOCRACY AFTER THE
GREAT WAR
• Brazil had enjoyed prosperity after World War I, but its
government had squandered money and had accumulated a
large internal and foreign debt.
• Then came the depression, which hurt Brazil's major industry --
coffee. Brazil's coffee kings and many coffee merchants fell into
bankruptcy, and unemployment rose in the cities.
• In 1930, a rebellion brought the president of one of Brazil's
provinces to national power - Getúlio Vargas. Vargas
suppressed a revolt against him that broke out in Sao Paulo,
and he allied himself with an anti-Semitic fascist, Plinio
Salgado.
• In 1933, President Vargas disbanded Congress, declared martial
law and warned the nation against a threat from Communists.

• Salgado offered Vargas 100,000 armed followers to protect the

nation. Vargas accepted their support and helped them set up
headquarters in Rio de Janeiro.
 POPULISM UNDER DEMOCRACY 1930–
1964
• A military junta took control in 1930. Getúlio Vargas took
power soon after that, and would remain as dictatorial ruler
(with a brief democratic period), until his suicide in 1954.
• After 1930, the successive governments continued industrial
and agriculture growth and development of the vast interior of
Brazil.
• Provisional President Getúlio Dorneles Vargas ruled as dictator
understood that with the breakdown of direct relations
between workers and owners in the expanding factories of
Brazil, workers could become the basis for a new form of
political power—populism.
 Brazil under dictatorship (64-85)
• The Brazilian military government was the authoritarian
regime which ruled Brazil from April 31, 1964 to March
15, 1985, when civilian José Sarney took office as
President.
• It began after the 1964 coup d'état led by the Armed
Forces against the democratically elected government of
left-wing President João Goulart.
• In March 31, 1964, the Brazilian Army, then led by
General Humberto de Alencar Castelo Branco, seized
power through a coup d'état, beginning the Military
Dictatorship in Brazil, which lasted 21 years.
• In the 1970’s when the generals were in charge of the
Brazilian economy - Brazil's Ministry of Aeronautics
planted the seeds and made major efforts to contribute
to the development of the aerospace and defense
industry including the growth of Embraer.
• During the 1970’s the generals also planted the seeds in
Brazil for Brazil’s future energy self-sufficiency and
independence from foreign oil.
 the “new professionalism in the second
republic”
• The primary task of the Brazilian military, as with all modern
militaries, was to kill the enemies of the Brazilian state.
“Defense of the state” took on a very different hue towards
the end of the Second Republic.
• This led to an adoption of what Stepan called, in 1973, “New
Professionalism.”
• The New Professionalism was formulated and propagated in
the Escola Superior de Guerra, which had been established
in 1949.
• By 1963 New Professionalism had come to dominate the
school, when it declared its primary mission to be preparing
“civilians and the military to perform executive and advisory
functions.
• By 1964 the military elite had begun to see a leftist
revolution as a real possibility. Through the paradigm of
internal warfare doctrines of the new professionalism, a
great number of the officer class saw rising strike levels,
an inflation rate of over 75%, the declining economy.
 CONSEQUENCES OF LABOR UNREST
• The Brazilian economic miracle from 1968-1974
corresponded precisely to the period in which core
capitalists increasingly sought to escape militant workers'
struggles at home.
• In the closing years of the 1970s, as labor movements
were experiencing decisive defeats throughout the core,
a new trade union movement burst onto the scene in
Brazil, bringing to an end almost one and a half decades
of worker quiescence.
• Brazil's auto workers formed the central core of this new
labor movement. An intense strike wave in 1978
inaugurated a period of activism which survived (even
flourished) through a decade of repression and recession
in the 1980s.
 BRAZIL UNDER HYPER INFLATION
• Brazil once was plagued by chronic inflation which
turned into hyperinflation during 1980-1994
• The source of this inflation was the expansion of the
money supply.
• The government financed its operation and its
development projects not out of taxes or borrowing
funds but by simply creating money.
• Brazilian interest rates have tumbled since the
government reined in spending and created a new
currency the real in 1994 to tame hyperinflation.
 PRESIDENTS COLLAR DE MELLO
• Fernando Affonso Collor de Mello was president of Brazil
from 1990 to 1992, when he resigned to avoid being
impeached.
• Collor's initiative: free trade, privatization and state reforms
policy.
• He also proposed freezes in wages and prices, as well as
major cuts in government spending.
• During the Plano Collor, yearly inflation was at first reduced
from 30,000 percent in 1990 to 400 percent in 1991.
• During the course of his government, Collor was accused of
condoning an influence peddling scheme.
 PRESIDENT ITAMAR FRANCO
• Itamar Augusto Cautiero Franco, usually known as
Itamar Franco who was President of Brazil from
December 29, 1992 to January 1, 1995.
• Franco took power as Brazil was in the midst of a severe
economic crisis, with inflation reaching 1,110% in 1992
and rocketing to almost 2,400% in 1993.
• Franco is credited with launching of idea of a free trade
zone covering the whole of South America.
• Also during his Government, Brazil ratified important
pacts (for example Tlatelolco Treaty and a quadripartite
agreement, and the International Atomic Energy
Agency), which set Brazil on the nonproliferation path.
 Fernando Henrique Cardoso
• Fernando Henrique Cardoso also known by his initials
FHC - was the 34th President of the Federative Republic of
Brazil for two terms from January 1, 1995 to January 1,
2003.
• The years 1995-2002 witnessed a rise of the total public
debt from 30 to 55.5 percent of GDP.
• It has been argued that this was due to external factors
outside the control of the administration at the time,
such as the devalorisation of the Brazilian real and the
growth of the share of the debt denominated in US
dollars.
 Luiz Inácio Lula da Silva
• Luiz Inácio Lula da Silva; known popularly as Lula, is the
thirty-fifth and current President of Brazil.
• During this period Brazilian foreign trade has increased
dramatically, changing from deficits to several surpluses
since 2003.
• In 2004 the surplus reached $29 billion due to a
substantial increase in global demand for commodities.
 Political risk assessment

• Brazil comes out most favourable, scoring an overall

medium risk for dynamic risks – governance framework,
political violence and business and macroeconomic
environment. It also has a medium risk profile for
structural risks such as supply chain risks, poverty,
development, energy security and vulnerability to
climate change.
• However, Brazil performs badly in terms of its civil and
political rights, its judicial independence and its security
forces’ respect for human rights.
• Corruption rankings: 75
OBRIGADO