1 / 19

Exporting Products fromUSA to Brazil

Exporting Products fromUSA to Brazil. Your name University Class date. Introduction. The company would be an export oriented unit. Company located in the United States The company would be exporting products to Brazil. The company handles heavy duty machinery and equipment. Product.

nitara
Download Presentation

Exporting Products fromUSA to Brazil

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Exporting Products fromUSAto Brazil Your name University Class date

  2. Introduction • The company would be an export oriented unit. • Company located in the United States • The company would be exporting products to Brazil. • The company handles heavy duty machinery and equipment.

  3. Product • Products should be heavy duty machines and equipments. • The focus should be on products used in construction. • The main equipments to be exported consist of building materials, friction press, high strength bolts and cement machinery.

  4. Target Market • Brazil would be the main focus of the company. • Brazil is the largest national economy. • Considered fastest developing economies • Government investing to improve economy and country’s infrastructure. • Increasing demand for construction equipment

  5. GNP/Capita • The country is the eighth largest economy in the world. • The GDP of the country is more than US$10,500. • After 2001-03 financial crisis, capital inflow was getting better. • Real wages and employment was rising. • The reason behind this growth is sound economic policies.

  6. GNP/capita Growth Rate • Brazil GDP was 4.5% in 2007. • Brazil is the up-to-date industrial sector which is 1/3 in South America. • Brazil has tight fiscal policies. • They has different industries of heavy machineries and equipments. • Brazil use equipment and technology procured from United States companies.

  7. Market Size • Brazil has advance and quickest emerging economy. • Brazil has 3/5 of the Latin American economy’s industrial production. • Business future has been boosted by lower interest rate. • In 2008, interest rate stayed at 11.5%. • Rise in demand for machinery and capital goods. • Import would increase due to domestic demand.

  8. Market Screening • To find out about the potential of markets, market screening is important. • Market screening helps to recognize best sites in a large geography. • Government building infrastructure. • Brazilian companies importing products from USA.

  9. Exchange Rate • Exchange rates changes on a daily basis and biggest markets throughout the world. • Brazil’s Current Exchange Rate: • 1 BRL = 0.6179 USD • 1 USD = 1.6184 BRL

  10. Import Restrictions • Importers and exporters need to register with the following: • a. Foreign Trade Secretariat (SECEX) of the Ministry of Industry, • b. Commerce and Tourism (MICT). • c. Import Taxes. • d. Import Duties.

  11. Price Control • They need to focus on their price control before launching a new product. • Apart from that, pricing of the product must be done when a standard product is launched into a new supply channel or in a geographical area. • The competitor’s price should also be taken in consideration

  12. Government & Public Attitude Towards Buying American Products • Brazilian government and public have Positive attitude and policy towards American imports. • High technology import from United States and get appreciated by Brazil. • Brazil face strong competition but it is a huge opportunity. • Companies adopting strategies to gain competitive edge.

  13. Socio Cultural Factors • Socio cultural factors should be studied to take an idea about the market conditions. • Attitudes and beliefs: the attitude, background and educational factors should be considered while framing a marketing strategy. • Brazil has a culturally diverse society.

  14. Continued • Languages: Portuguese is the official language of Brazil. • Language is important while dealing with organizations in Brazil. • Education: high inequalities in Brazilian education. • Government policies and investment to make education popular.

  15. Export Marketing Strategy • The company would opt for direct exports. • Factors such as product acceptability, advantages, plant capacity, export financing, market regulations should be considered while making a strategy. • Sales and distribution network alternatives should be studied.

  16. Promotion Methods • The company should study a number of various promotion alternatives. • Online promotion methods would suit the company the most. • Other methods which company can employ are direct mail, brochures, email messages, magazines, and Web pages.

  17. Conclusion • The company should capitalize on huge demand of heavy industrial machines and equipments in Brazil. • The company should design an appropriate strategy. • Pricing should be competitive. • The main focus should be quality.

  18. References • Brazil GDP: Real Growth Rate.(2008). Retrieved August26, 2008, from http://indexmundi.com/brazil/gdp_real_growth_rate.html • Brazil. (2008).Retrieved August26, 2008, from http://info.hktdc.com/mktprof/america/mpbra.htm • Brazil Country Profile. (2008). Retrieved August 25, 2008, from http://fedex.com/us/international/irc/profiles/irc_br_profile.html?gtmcc=us

  19. Continued • Carter, M. (2008). Major Methods of Advertising and Promotion. Retrieved August26, 2008, from http://www.managementhelp.org/pblc_rel/basics.htm • The World Fact Book: Brazil.(2008). Retrieved August26, 2008, from https://www.cia.gov/library/publications/the-world-factbook/print/br.html

More Related