BIMA Breakfast Briefing | Breaking into Asian Markets
Incuba presentation
1.
2. Agenda!
§ Who are we?!
§ What are we doing?!
§ Where are we?!
§ Why are we doing this?!
§ Market Overview!
§ Challenges!
§ Opportunities!
§ Business Protocol!
§ Down to business!
6. How do we hold your hand?!
!
• Market Entry Strategy & Operational Advisory!
ü Market Assessment, Positioning & Negotiation!
ü Project Management !
ü Legal & Financial Services!
• Local Intermediate Representation!
ü Matchmaking & Joint Venture!
ü Agency !
ü Consignment & Distributor!
!
• Export Promoters, Alliance & Network Creators!
ü Organizing & Participating in Events!
ü Link between Associations, Investors, companies!
! ! ! !... And we will eventually take you out for a drink!!
7. Finding the key challenges and focus areas
for decision-making!
11. Where are we doing this? !
!
!
Thoreo !
Rua Senador Dantas, 75!
1701 - 1707!
Rio de Janeiro – RJ!
Brazil!
h8p://www.youtube.com/watch?v=8Ws9r90hvWk
18. The Market – LatinAmerica!
§ Population: 556 millions inhabitants!
§ Total Trade 2011 – $ 2,1 trillion!
§ Inflation rate - 5.5%!
§ International reserves account 16% of GDP!
§ Free Trade Agreements: Mercosur, Andean Community, SICA.!
§ Unemployment rate 6.7% in 2011, expected to continue falling.!
§ GDP growth expected to increase - 4% in 2013.!
!
19. Market Overview - Brazil!
§ Population: 200 million Inhabitants!
§ GDP $2.453 trillion (2011)!
§ GDP per sector:!
§ agriculture: 5.5%!
§ industry: 27.5%!
§ services: 67% (2011 est.)!
§ Unemployment: 6%!
§ Inflation: 6.6%!
§ urban population: 87% of total population!
!
!
HIGHLIGHTS:!
§ 45 million people have moved
into the middle class on the past
three years!
§ Brazil overtook the UK and is now
the 6th largest world economy!
20. AMarket for Innovation & Technology!
§ 200 inhabitants 40% regularly connected to the internet!
§ Online spending $13 billion!
§ Second, Facebook users after the US!
§ The fifth largest ICT market $212 billion in 2011 !
§ The third largest market for PCs!
§ The fifth largest market for mobile phones!
!
21. AMarket for Innovation & Technology!
The 10th Most Innovative Companies in Brazil:!
!
§ Bug Agentes Biologicos (Top 50- rank 33)!
§ Boo-box (Top 50 – rank 45)!
§ Grupo EBX!
§ Stefanini!
§ Embraer!
§ Petrobras!
§ Predicta!
§ F*Hits!
§ Apontador!
§ Vostu!
23. Opportunities!
Agribusiness
Energy
Marine
engineering
Medical
Mobile
MarkeUng
Oil
&
Gas
ConstrucUon
§ Agribusiness
§ ConstrucUon
§ Energy
§ Marine
engineering
§ Medical
§ Mobile
MarkeUng
§ Oil
&
Gas
24. !
§ For my friends, everything, for my enemies, the law. !
(networking, networking, more networking & Family)!
!
§ Jeitinho brasileiro (“Brazilian way”)!
§ An important cultural trait of the Brazilian culture is flexibility,
which is best expressed by the Brazilian ʻjeitinhoʼ . There is an
ʻintermediary pathʼ between what is and what is not allowed. !
Challenges!
25. Managerial Performance!
§ Brazilian managerial performance is characterized by an
immediatist view, directed towards short-term results with an
emphasis on crisis solutions!
§ There is a lack of strategic planning and/or a gap in planning
between the tactical and the operational management levels.!
!
26. Decision Making!
§ Decisions are centralized at superior hierarchical levels,
with clear incompatibility between knowledge and authority!
§ Organizational structure is excessively hierarchical, and
the inner subsystems are excessively segmented, without
integration.!
27. The system of control!
§ The system of control is partly marked as punitive, composed
of follow up mechanisms that are random and dissociated from
a feedback process.!
§ Negotiations are carried out predominantly in an atmosphere in
which winners lose and losers win and the main conflicts are
not openly discussed. Attitudes tend to be imposed upon
subordinates, and comforting behaviors are employed before
superiors.!
28. Personal relationships!
§ Brazilians organizations perceive the weakness of legal
system as a barrier to iron out conflicts, as a result they are
more dependent on personal relationships.!
§ Formalism is understood as the social tendency to provoke
discrepancy between the formal and the real, between what is
said and what is actually done. This generates a multilayer
social reality, in which one needs to be SKILLED in figuring out
what is factual, and what is appearance, or what is done only
“for the English to see”.!
29. B2B Behavior!
§ Be prepared to commit long term resources (both in time and money) toward
establishing strong relationships in Brazil. !
§ Business meetings seldom start on time.!
§ Never start into business discussions before your host does. Business
meetings normally begin with casual 'chattingʻ.!
§ Noon is the normal time for the main meal. Brazilians have light meals at
night.!
§ Expect to be served small cups of very strong coffee on the meetings.!
§ In Brazil, restaurant entertainment overcome in opposition to home.!
§ If entertained in the home, it is polite to send flowers to the hostess the next
day, with a thank you note.!
§ Giving a gift is not required at a first business meeting; instead buy lunch or
dinner.!
§ Tipping is typically 10% in Brazil!
30. Dos
!§ Do be polite, always. Even if the situation seems informal.!
§ Do learn a bit of Portuguese before you get there.!
§ Do show affection and emotion in most occasions.!
§ Do try to be informed about different and exciting topics to catch
the attention of Brazilians, we tend to lose focus very easily…
(interruptions).!
§ Do accept gifts and food when offered, even if you donʼt need
or want them.!
31. § Do not arrive in Brazil thinking that people will speak to you in Spanish.!
§ Do not even THINK about saying that Maradonna was a better soccer
player than Pelé.!
§ Do not intend to be arrogant or to say something about politics or the
country cultural behavior if you are not sure the person agrees with your
opinion.!
§ Do not trust everyone that seems to be sweet and kind if you just met
them, even though Brazilians are known as “warm” people, you never
know when you are dealing with the wrong ones.!
Donʼts
!
33. Ecological Conscience !
!
“Today, sustainability can no longer be
regarded as a competitive differential. From
now on, it will be a survival issue for the
companies. Consumers will not only expect
the adoption of green appeal actions, they will
press the companies to find sustainable
solutions”.!
Ivan Vera!