Sunday, May 17, 2020

Emerging Markets Essays - 786 Words

Emerging Markets: Brazil Case Study I. Summary Brazil’s agricultural advantage stems from its extensive natural resources. The country’s competitors either utilize more supplies or more time in order to yield an amount that can rival Brazil’s production. Although every other country desires the agricultural production capable of Brazil, Brazil‘s government is determined to invest in industrialization in order to modernize its economy. While Brazil has a large amount of natural resources available for use, its government must provide the funding of the growing industrialization, to include: energy, materials, and increased employee earnings. II. Problem Brazil’s success in agriculture is attributed to vast lands, diverse†¦show more content†¦Therefore, previously instated non-tariff barriers due to health concerns will decrease allowing for a greater degree of expansion. IV. Questions for Discussion Why is Brazil’s agriculture so competitive? Why do its manufacturing industries lack competitiveness? Brazil’s agriculture is competitive because its environment contains natural and inexpensive resources that other nations would have to spend extra time and money to produce or acquire. Furthermore, Brazil gained a distinctive comparative advantage in agriculture and livestock by doing away with nontariff barriers and reducing import tariffs on similar products other countries were trying to bring into the country (Brazil: Economic background, 2006). With regard to underdeveloped manufacturing industries, Brazil lacks competitiveness for the same reason its agricultural competitors fall short. The â€Å"Brazil cost† of energy, raw materials, and wages is exponential compared to another nation primed to capitalize on manufacturing. As a result, domestic industrial products are costly compared to international competitors so consumers will frequent the competitor. Why have Brazil’s governments in both the 20th and 21st century been eager to develop world-class manufacturing? According to the closing case, the Brazilian government seeks to modernize its economy through world-class manufacturing. I would argueShow MoreRelatedThe Challenges Of Emerging Markets1335 Words   |  6 PagesFor businesses, emerging market has developed into a very well chosen destination for a firm operating well in their operating country which is looking for expansion. Developed markets usually hint at the considerations to per capita income. Limited growth opportunity and emerging market economies usually expect an availability of a larger amount of growth opportunity. In saying that, to maximize shareholders return and business enjoy showing their strength in their own country, companies showingRead MoreUnderstanding Emerging Markets989 Words   |  4 PagesUnderstanding Emerging Markets Research Paper Articles Selected 1. 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