The world’s fifth largest country in territory, Brazil has more than 200 million people from the most diverse backgrounds, shares borders with almost all South American countries, holds the fifth largest stock market capital and financial market in the world and has been recognized as the seventh largest economy. In addition to a strong domestic market, Brazil is often seen by foreigners as a platform for exports to South America.
Even so, in recent years, some multinationals have decided to leave the country. According to IBGE, six out of ten companies in Brazil close down before completing 5 years of operation. Stage of a political system that is pressing for change, a heavy state and an economy considered closed by the World Bank, Brazil still has a costly labor system, several infrastructure problems, a slow regulatory environment and, according to OECD, the largest fiscal bureaucracy in the world. So why should a foreign company stay in Brazil?
- In the last decade, more than 30 million people have risen to the middle class. Econometric evaluations indicate that this public accounts for more than 1.17 trillion reais in the economy, and moves 58% of the available credit in the country.
- In terms of infrastructure, Brazilian ports are estimated to receive 51 billion reais in investments, whereas the airports in the country shall triple in size in 20 years.
- Home to the world’s greatest biodiversity, Brazil provides countless possibilities for different industrial sectors, as pointed out by an UN study explored by CNI.
- Brazil also features a solid financial system – Brazilian financial institutions are among the largest in the world and the country holds the fifth largest stock exchange on the planet, with about 13 billion dollars in market value.
- According to the British consultancy CEBR, by 2023 Brazil should emerge as the fifth largest economy in the world.
- The country has great energy potential, a large arable area and a diversified industrial park.
- There are incentive programs for companies that agree to settle in regions located further away from major urban areas.
- According to FORBES, 35 of the 50 largest companies in the world operate in Brazil.
- With a pulsating internal market that accounts for about 80% of the country’s GDP, Brazil is rich in cultural, artistic and ethnic diversity. From this perspective, the population is open and seeks new products and ideas.
- Brazil is a regional leader and shares borders with 10 countries in South America. Operating in Brazil means having easier access to expand operations across its South American neighbors.
Braver Corporation is an expert in internationalization. If you plan to come to Brazil, we can open the doors of the country to your company. As a strong partner, Braver can help guide your business, boost bottom line and minimize risks. Discover Braver and find out what we can do for your company in Brazil and all over Latin America.