Question

As an international management consultant, what advice would you give a foreign company looking to move operations to Brazil? Do you think Brazil holds the potential for future growth? As an investor, do you think the buy low mindset applies to Brazil? If not, what changes would you like to see before making any investments in the country?

Answer 1

Franchising and joint venturing with different companies which are already operating inside Brazil tech market would be the best option for company to enter Brazilian market. High taxes on import as well as provision of different services is also a bit tough in Brazilian market as its growing market and does not have an special or stable opportunity. Mind power of the people is also not that much as compared to United States of America hands entering a specific market requires extensive research and development for the same criteria.
Some basic Strategies for entering International markets are as follows

Direct exporting

By directly exporting into the international market a company can enter into a foreign market very easily. The only drawback of this type of the market that the company is not directly responsible to the customers but to the service provided he is relying on to the other country.
Direct exporting can be very beneficial for an organisation as it is totally based on exporting the manufacturing goods as well as raw materials from the factory itself which reduces the overall cost over different mediums. This specific type of international business entrance provides a very rigid support as it doesn't need any kind of profound the structure inside the target country.
Direct export also has a limitation of being less effective in the market as there is no direct marketing involvement is done. While exporting the goods from a country to a different country, overall cost of the export could be very effective for an organisation which could directly into loss.

Franchising

By opening franchisees in different countries for your brands or service you can easily extend your business to different countries and enter the new market. But you have to be a well established brand in your own country for expanding franchisees into different countries as it requires a global identity. Without a broker Global identity one cannot do business in foreign countries.
Opening a franchise in 2 different country could be very beneficial for a company to establish its chain inside other country. While entering the international market franchise is one of the most popular ways of creating our business in different countries. This specific type of entrance is strategy has benefit of creating a brand identity using the company's Global brand image.
Franchising also creates problems towards a specific society by having toughness to maintain their structure. This specific deafness directly decreases the overall efficiency of the franchise system and reduce the overall effect of the supply chain in terms of the international markets.

Joint ventures

Joint ventures are the safest way to invest your money in different countries as well as International businesses. With the help of joint ventures one can easily invest their money with the purely experience company and can gain profit.
Joint ventures can provide use profit if they are done correctly. That can be very beneficial in terms of Huge investment as the risk is lower because an experienced company in the same country is already working with you.
Joint ventures can also be very dangerous for an organisation as they can expose the company to a bigger loss.

According to me franchising is one of the best ways to enter an international market. By maintaining a company's Global brand image inside a specific country, organisation can gain benefit from it pre existing society. This specific type of entrance strategy ensure that the company brand image reflects the positive way of the product or service into the society which directly leads the company to increase sales. Success rate of the franchise is also higher in entering the international market as most of the international firms who Enter the New Market provides a basic survey as well as research on the specific country.

This company can effectively use franchising in Brazil for reducing the overall cost on imports. While having a manufacturing facility inside Brazil, company can increase the level of sales as well as profits with the same market as these markets are growing very rapidly and they are the source of great revenues. By having specific Strategies and franchising the stores Apple can easily develop their own system of selling iPhones in the brazil. This is specific franchisees would also be very beneficial for creating a brand identity in Brazil and would help company to grow consistently as these chains would provide intensive support to the customer as well as selling the products.