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1. In the last decade, Brazil has recast itself as a global brand and a global power.

It is home to the world's fifth-largest land mass and eighth-largest economy and is one of the top global producers of stuff everyone else needs: from animals, vegetables, and minerals to water, energy, and airplanes. The new conventional wisdom suggests that Brazil is now poised to make its name on the global stage and balance the other power in its neck of the woods, the United States. Brazil's ascent coincides with the relative decline of U.S. influence in Latin America and the rise of new centers of power in Asia. This dynamic reinforces Brazil's central foreign policy message: with both place and purpose for a new global player on the world stage, Brazil can be the Mac to the United States' PC -- with an ethos and an international agenda to match. Brazil's aspirations are fueled by its impressive social and economic gains and its diplomatic accomplishments, as well as the ambition, vision, and personal narratives of its two recent presidents, Fernando Henrique Cardoso and Luiz Incio Lula da Silva (known as Lula). However, Brazil's attempts to exert its influence on a wide range of pressing international issues may dilute the legitimacy of its efforts in such areas as climate change, peacekeeping, and global governance, where Brazilian participation has been most successful. This is not the first time Brazil has generated so much breathless excitement. The challenge for Brazil now is to not let an exaggerated self-image eclipse its focus on balancing the constraints faced at home with the opportunities available abroad. The next government has the chance to spare itself the illusory quest to be a global power -- soft, hard, or otherwise -- and instead relish its well-established place at the table. A more modest, although still ambitious, strategy would allow Brazil to shape and influence global institutions, and deepening investments at home would redress its domestic liabilities: glaring underinvestment in human capital and innovation and the still near absence of the state from the lives of millions of Brazilian citizens.

2. The Real Challenge for the Brazilian IT Services companies to become global
In the last 3 weeks we have done what can be called the experts circuit. We have participated in both, Gartner Symposium ITXpos conferences, in Orlando and Cannes; we spoke to more than a dozen analysts; we listened to other research institutes, like Forrester and IDC; we participated in panel discussions in the Global Sourcing Forum & Expo; and we talked to several key end user organizations. With all of them, we addressed the Brazilian IT Services companies positioning in the global scenario, and what would be their challenges going forward, and truly become a world player. Brazil is currently in a very favorable spotlight, especially after being able to weather the economic storm without major casualties, and also after winning the right to host the two largest world sporting events: The Football World Cup in 2014 and the Olympics Summer Games in

2016. Actually, it is the first time that a country is able to host these two events back to back. So it seems that the window of opportunities is wide open. The question is, however, for how long. With all the specialists we talked in these last 20 days, they were unanimous in recognizing the positive momentum that Brazil is experiencing. But they also all agree that there is more that needs to be done, and that it needs to be sooner rather than later. All the institutional fanfare is very good, but needs to be followed with real targeted, result-oriented actions. In the IT Services space, many analysts and experts agree, that because of the current positive view on Brazil, it could claim to be one of the top 3 players worldwide. But in order to do that, it needs to rev up is go-to-market and communication investments. It needs to address head on the issues it faces with being more focused and aggressive in the market. According to the experts, we are now living the Global Delivery Model scenario, and for services organizations, it is mandatory to have a global footprint and be able to deliver in type of environment and culture. And for Brazil, this is one of their greatest challenges, as it still has a bi-lateral approach, where it only approaches from the Brazil-to-country and county-to-Brazil view. This obviously requires greater investment by the companies, so they can actually build a global footprint. And companies will tell us that in turn, government needs to do their part as well, and most importantly create a more favorable fiscal environment, lessening the impact of the current taxation structures on companies global competitiveness. Much like the Indian government did for their IT sector in the early 90s. Undoubtedly this is a crucial issue, but there is more than just better government fiscal policies for the IT sector. There is a greater issue which only the Brazilian companies themselves can resolve. And that has to do with their current attitude. Very few Brazilian businessmen have been able to think and act out of the box, meaning to think as a global player and not with a Brazilian mind set. Too often, Brazilian leaders, both, private and public, fail to exercise the basic premise of marketing 101, which is, understand the clients true perception. Be able to look on the issues with the clients eyes and vision. Be able to understand clients motivations and objectives and because of that be able to align their communication and product and services development roadmap accordingly. Many times, Brazilian leaders will provide answers that are based on their views and not aligned with markets reality. Bottom line, Brazilian companies real challenge is to overcome the stray dog complex and learn how to become a global business citizen. In the last 20 years we have been hearing a lot about Think globally and act locally. Well, for the Brazilians it is the other way around, it is Think locally and act globally.

According to a study done by Ernst and Young Terco, Brazil is ranked fifth among the countries receiving projects and investments from the rest of the world.

Many of the top 13 countries investing in Brazil have a focus on oil and gas, infrastructure and manufacturing. Below is a breakdown courtesy of thebrazilbusiness.com, of the top 13 countries and their investments into Brazil. 13. Canada Canada is believed to have invested BRL 3,413,146.84 in Brazil in 2011, which was divided among 13 projects. Canadian companies have found investment opportunities in the following sectors:

Infrastructure Education Clean Technologies IT and Communication Services Oil and Gas

Canada has also invested in defense and security, aerospace, life sciences, offshore technologies, automobile, energy, agriculture, services and tourism.

12. South Korea South Korea has invested BRL 3,610,392.14 in Brazil in 2012. The Korean consulate in So Paulo pointed out that there are at least 70 Korean companies in Brazil. Some of the Brazilian sectors receiving Korean investments are:

Railway and road construction; City improvement; Digital cities.

11. Switzerland In 2012, Switzerland invested BRL 3,954,803.06 in Brazil. Brazil is Switzerlands third business partner in Latin America and Swiss companies generate 92 thousand jobs in Brazil. Some of the Swiss investments made in Brazil are in biotechnology (ethanol) and solar energy.

10. Netherlands

The Netherlands has invested BRL 4,633,276.10 in Brazil in 2012. Its major investments are in the naval, offshore and oil and gas sectors. The demand for new ships, platforms and other equipment has attracted Dutch companies to the country bringing with them their vast experience in technology manufacturing.

9. Germany In 2012, Germany invested BRL 4,946,305.31 in Brazil. The major investments were in the following sectors:

Automobile industry; Auto parts; Machinery and tools; Chemical and pharmaceutical industry.

German companies have also invested in sustainable technologies and in the improvement and development of energy, sewage and recycling, and mobility technology.

8. United Kingdom The United Kingdom has invested BRL 5,560,833.37 in Brazil in 2012. It was also ranked in second position amongst countries that had mostly invested in new projects in Brazil, only behind USA. The most promising sectors in Brazil from the British point of view are:

Oil and gas Sport business Middle class expansion

7. Norway In 2012, Norway invested BRL 9,250,044.57 in Brazil. According to the Brazilian embassy in Norway, the Nordic country invested more in Brazil than in China, with more than 100 companies established in the country. Major Norwegian investments were made in the following sectors of the Brazilian economy:

Mining Oil and Gas Naval industry Cellulose and paper Sailing Fertilizers Biofuel Banking

6. USA From 2009 to 2011, the US decreased its investments in Brazil. However, in 2012, they went from BRL 9,568,131.18 to BRL 15,844,099.83. After going from a priority among the countries receiving American investments to an unstable market, Brazil has recently started to regain its position among the best countries to invest. Investments made by the United States in Brazil are various and they go from education to infrastructure, but two sectors that have considerably drawn attention of foreign investors are start-ups and technology as a whole.

5.France In 2012, France invested BRL 19,512,766.16 in Brazil. This amount is divided among the following sectors:

Manufacturing industry (automobile, oil and gas, chemical products, rubber and plastic and metallurgy); Retailing; Electricity, water and gas; Transportation, storage and communication; Housing and food.

The Brazilian Southeast was the region that received the major amount of investments (23,17%) from 2004 to 2011, with 49% of it going to So Paulo state, 34% to Rio de Janeiro and 17% to Minas Gerais.

In So Paulo the investments were in the telecommunications, electricity and gas distribution, oil and biofuel sectors. The investment made in Minas Gerais was mostly concentrated in the sectors of metallurgy and transportation equipment.

4. China In 2010, Brazil was the main destination for Chinese investments and in 2012 China invested BRL 21,679,439.02 in the country. From 2003 to 2011, the Southeast was pointed out as the main destination of Chinese investment, with Rio de Janeiro receiving 20% of it, So Paulo 19%, Esprito Santo 15% and Minas Gerais 10%. The investments made in the period are distributed among the following sectors:

Oil and gas 45%; Agribusiness 20%; Mining 20%; Steel industry 10%; Electricity 3%; Manufacturing 2%.

3. Spain Despite its own economic crisis, Spain invested BRL 26,029,830.25 in Brazil in 2012. The internal crisis has led Spanish companies to move to Brazil and there is a major interest in the construction industry and in the projects related to the 2014 World Cup and to the 2016 Olympic games. 2. Italy In 2012, Italy invested BRL 64,310,718.55 in Brazil. The Brazilian economic sectors that mostly receive Italian investments are:

Construction industry; Sustainable energy; Naval industry; Luxury market.

Fiat, Pirelli Pneus, Magneti Marelli Cofap and TIM Mobile are some of the Italian companies operating in Brazil.

1. Portugal

Occupying the first position in the ranking of countries investing in Brazil, Portugal has invested BRL 77,791,621.33 in Brazil in 2012. According to data from the Brazilian Central Bank, the major Portuguese investment made in Brazil in 2010 was in the manufacturing of non-metallic materials sector. Also, Portugal has invested heavily in telecommunication. These massive investments are the supposedly due to the shared history, cultural affinities and the fact that both countries speak the same language, which is very relevant in the case of Brazil as many business people and decision makers do not speak a foreign language.

Home South America EconomyBrazil Economy Brazil Exports, Imports & Trade

Brazil Exports, Imports & Trade


By: EconomyWatch Content Date: 15 March 2010 About The Author

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In 2010, Brazil total trade volume was US$387.4 billion. Brazil is a member of numerous economic organizations, including Unasul, WTO, Mercosul, G-20 and the Cairns Group. Brazil has hundreds of trading partners, with 60 percent of its total exports made up of manufactured and semi manufactured goods.
Mercosul, an economic and political agreement that includes Argentina, Paraguay, Uraguay and Brazil, promotes free trade and easy transit of goods, people and currency. In 2008, Mercosul signed a free trade agreement with Israel, and later signed with Egypt in 2010. Brazil is also one of the leading players in the World Trade Organization's Doha Development Round negotiations for discussion on lowering trade barriers around to world to boost global trade. However, discussions has been stalled due to differences between EU, US, Japan and other developing countries, including Brazil. As Brazil's economy expects to expand in the next 5 years, experts says that the appreciation of the real will impede the increasing demand of Brazil's exports, thus reducing Brazil's total exports. A strong real may also increases demand for imports of foreign goods, thus resulting to a trade deficit and widening of Brazil's current account deficit.

Brazil's Import and Export Indicators and Statistics at a Glance (2010)

oing Business in Brazil



Market Market Market Market Overview Challenges Opportunities Entry Strategy

Market Overview
The Federative Republic of Brazil is Latin America's biggest economy and is the fifth largest country in the world in terms of land mass and population with about 192 million people. Brazils economy, the 6th largest in the world, grew 2.7% in 2011. Growth slowed due to

reduced demand for Brazilian exports in Europe and Asia, despite solid domestic demand and a growing middle class.

During the past decade, the country has maintained macroeconomic policies that controlled inflation and promoted economic growth. Inflation was at 6.5% in 2011, and urban unemployment reached a historic low of 6.0%. Interest rates, though high compared to the rest of the world, remained historically low at the Central Bank benchmark rate of 8.0% as of July 2012. In 2011, the U.S. was Brazils largest source of imports followed by China, Argentina, Germany, and South Korea. U.S. merchandise exports to Brazil in 2011 were US$42.9 billion, and U.S. imports from Brazil were US$31.3 billion.

Market Challenges
Brazil has a large and diversified economy that offers U.S. companies many opportunities to export their goods and services, and U.S. exports are increasing rapidly. Doing business in Brazil requires intimate knowledge of the local environment, including both the explicit as well as implicit costs of doing business (referred to as the Custo Brasil). Such costs are often related to distribution, government procedures, employee benefits, environmental laws, and a complex tax structure. Logistics pose a particular challenge, given infrastructure limitations posed by nearly a decade of economic expansion. In addition to tariffs, U.S. companies will find a complex customs and legal system.

Market Opportunities
There are few, if any, sectors in Brazil that do not have excellent short term opportunities. Certain sectors of the Brazilian market have experienced higher than average growth, such as air transportation, telecoms, oil and gas, and mining. Under the second phase of the Growth Acceleration Program (PAC II), the Government of Brazil will spend R$955 billion (the equivalent of around US$470 billion) in development of the countrys energy generation and distribution system, roads, railroads, ports, and airports as well as stadiums as it prepares for the World Cup in 2014 and the Olympics in 2016. Other promising areas for U.S. exports and investment include agriculture, agricultural equipment, building and construction, aerospace and aviation, electrical power, safety and security devices, environmental technologies, retail, and transportation. The Brazilian national oil company Petrobras' expansion may represent the largest global business opportunity in the oil & gas sector until 2020. The offshore pre-salt oil deposits discovered in 2006 and 2007 are estimated to exceed 60 billion barrels in probable or recoverable reserves, and could place Brazil among the worlds top ten oil-producing countries. Petrobras anticipates that it will invest $224 billion in exploration and development through 2015.

Brazil is one of the largest IT markets within the emerging economies. IT end-user spending in Brazil is expected to grow to $134 billion in 2014. The largest share of spending will be on telecom equipment, representing 72% of the market, followed by IT services at 13.3% and computing hardware at 11.9%. In the years leading up to the 2016 Olympic Games in Rio de Janeiro, Brazil will host several international mega-events. In 2011, Brazil hosted the World Military Games and the PanAmerican Maccabi Games and in 2012, Rio de Janeiro hosted the Rio+20 global environmental sustainability conference. In 2013, Brazil will host a papal visit and the World Youth Day event as well as the soccer Confederations Cup. In 2014, twelve Brazilian cities will host the soccer World Cup. The Government of Brazil expects to invest $106 billion in the preparations for these events. These investments, which will include outlays for infrastructure, construction, transportation systems, port improvements, public security, and airport infrastructure upgrades, will present significant commercial opportunities for U.S. companies. Most of the major infrastructure upgrades will be carried out through Public-Private Partnerships under Brazils Growth Acceleration Program.

Market Entry Strategy


Brazils business culture relies heavily on the development of strong personal relationships. Companies need a local presence and must invest time in developing relationships in Brazil. The U.S. Commercial Service encourages U.S. companies visiting Brazil to meet one-on-one with potential partners. One of the best ways for U.S. companies to enter the Brazilian market is by participating in local trade shows or using the U.S. Commercial Services Gold Key Service (GKS), through which they can meet with pre-screened potential clients or partners. It is essential to work through a qualified representative or distributor when developing the Brazilian market. Some firms establish an office or joint venture in Brazil. Further discussion of these alternatives can be found in the Marketing Products & Services chapter. It is very difficult for U.S. companies to get involved in public sector procurement without a local Brazilian partner.

Contracts and acquisitions Relacionados Direct Foreign Investment

Foreign Direct Investment (FDI) is the constant participation of foreign capital in companies receiving companies from Brazil or with the participation with the mood of permanence, owned by individuals or legal entities resident, domiciled or headquartered abroad, with ownership of shares or quotas representing the social capital of Brazilian enterprises, and capital of foreign

companies authorized to operate in the country. These investments need to have the Electronic Declaratory Registration (RDE). The IED is made when the investor owns 10% or more of the shares of a company and has voting power over it. The investment can be done in two ways: equity and inter-company loans. The equity is the inflow of funds, currency conversions and external values for the privatization or related to acquisition, underwriting and capital increase and the Brazilian company. The intercompany loans are credits granted by matrices, based abroad, subsidiaries or affiliates established in Brazil. Unlike the exchange of goods and services, direct investment has no immediate (cash payment) or deferred (trade credit) liquidity. The investments follow the flow of production, sales and profits and may be delayed. The goal of companies investing is to recover the fixed costs of technological change, achieve market share and participate in the process of opening national oligopolies. This investment may be more resistant to financial crises in recipient countries, since they result from long-term decisions. In some cases, a drop in stock price plus the devaluation attract investors. The information inventory of foreign investments in Brazil has adopted three applied methods of calculation: Conversion to U.S. dollars by the dates the investments, returns and reinvestments occurred; Conversion to U.S. dollars for the base date; Update of historical values in U.S. dollars by the Consumer Price Index of the United States. These data refer only to funds invested directly in companies in Brazil, except for portfolio investment. The data are obtained from the records issued by the Department of Foreign Capital to the base date, no direct comparison with the balance of payment flows and without international transfers in national currency. According to the Central Bank of Brazil, in 2011 about US$ 65 billion in foreign direct investment entered the country, equivalent to 2.6% of GDP. According to the Brazilian Society of Transnational Corporations and Economic Globalization (Sobeet), Brazil is the fourth largest destination for FDI in the world. The global flows of FDI totaled US$ 1.12 trillion in 2010, according to preliminary estimates by the United Nations Conference on Trade and Development (UNCTAD), keeping the previous year's level. In Brazil alone, the net inflows of FDI amounted to US$ 9.1 billion in the first two months of 2012. In the last 12 months (until February 2012) it reached US$ 65 billion (2.6% of GDP).

The industrial sector is the largest recipient of FDI inflows, especially the sectors of chemicals, metallurgy, petroleum products and biofuels, non-metallic mineral products and food. Sources: Secretariat of the Federal Revenue of Brazil Central Bank Brazilian Society of Transnational Corporations and Economic Globalization (Sobeet) (content in portuguese) Legal Guide for Foreign Investors

WHY INVEST IN BRAZIL


Some of the reasons that make Brazil one of the worlds best investment opportunities include stable economy, clean energetic matrix and a large domestic market. As the worlds sixth largest economy - which is expected to rank 5th in the next decade -, the country also plays a leading role in Latin American economy and politics, standing out with increased attractiveness in the international scene. While the worlds average economic growth has remained either negative or close to zero since the outbreak of the 2008 financial crisis, Brazils GDP reached 7.5% in 2010, the highest score since 1986. Brazils major competitive advantages presently comprise:

Social and economic growth combined with stability and environmental sustainability. Social and macroeconomic structure. Strong domestic market. Richness of natural and cultural assets. Open markets and multilateralism. Clean and abundant renewable energy. Democratic stability.

Brazil offers a safe and outstanding investment environment and Apex-Brasil is proud to introduce international investors to the best available opportunities.

Significant international recognition of the economic strength of Brazil was achieved for the first time in 2008, when the country was assigned safe investment grade status by international rating agencies. This status signals to foreign investors that it is safe to invest money in Brazil. It also indicates that the State is able to honor payments to its national and international creditors and that it practices sound fiscal policies, as well as raising more resources than it spends, i.e. the risk of default is small. The international rating agencies use grades to define the risk of investing in companies and countries. This contributes to the understanding of a country by international administrators in relation to its economic characteristics and capital structure. Each agency has a different format, but generally their methods are similar. The agencies assign higher grades to the lowest risk countries and lower grades to those most at risk of not being in a position to honor payments. There are several agencies. The three largest ones are Moody's, S&P (Standard & Poor's) and Fitch Ratings. The highest grades are AAA, AA+, BB+, BBB-and the lower grades are B, C, and D. The risk agencies assess the country through key macroeconomic variables: real interest rate and tax burden. The S&P and Fitch Ratings, for example, currently classify Brazil as BBB, which means that the country is safe for investment. The country's grade was previously BB+, which represents low credibility. Moody's has upgraded Brazil's grade from B1 to B2. With economic policies of reducing government spending and interest rate reductions by the Central Bank of Brazil, the country was assigned investment grade. The work of the agencies is to understand if the country offers advantages for investors, both national and international, in order to protect capital and create a development scenario both for industry and the local consumer. In addition to these factors there are other more complex variables such as currency appreciation and the relationship between debt and GDP, among others. The investment grade signals to international investors, fund managers and private individuals that Brazil pays its debts, the economy moves forward consistently and that the development of the economy and the population is a priority for the government. With an investment grade, Brazil now has greater visibility and improved trading conditions in the international market, and is able to achieve improved rates and offer a financial structure that is more attractive to national and international businesses. This means that Brazil can now have lower interest rates, low inflation, a stable currency and a more consolidated capital market. Brazil Country Risk

Brazil country risk, as measured by Credit Default Swap (CDS) is a classification that is applied to sovereign bonds on foreign markets. Brazil risk has decreased and even became less than that of the USA in 2011. This can be observed principally through the country's fiscal policy. Considering the correlation between premium, risk and debt ratings, Brazil has the potential to increase the value of its securitie

Brazil facing several economic challenges

Brazil is also facing several economic challenges and at the same time has made great strides in a few economic areas. One challenge that faces Brazil today is that the poorest one-fifth of Brazil's population makes up only 2.4% of the national income (Brazil County Brief). Brazil is only trailing South Africa in income inequality while one-fifth of the population lives on less than two-dollars per day. While primary school attendance is almost 100% pre-school and college attendance is very low creating an uneducated work force, low-income workforce. A few of the other economic challenges are creating new jobs, continuing agricultural growth and developing the Amazon, infrastructure, healthcare, and education. On a positive note Brazil is on the right track for accomplishing economic stability. Brazil is also challenging HIV/AIDS by imposing a strategy that encourages education and gives sick individuals access to retroviral medication. Brazil is also overcoming their domestic energy crisis by creating more exports and loosening trade barriers. Records show that since 2002 Brazil has made several changes to the economy that has helped to create economic equality. "Some of the key industries in Brazil are aircraft engine production, automotive manufacturing and assembly, hydroelectric power, shoes, a variety of agricultural products and minerals, among many others. Brazil is ranked the ninth largest market within the world economy, making it a prime destination for many business investors. Since the 1994 Real Plan and a trend toward market openness, Brazil has become a more stable and profitable business opportunity if approached with the proper preparation and business plan." (Offshore Yellow Pages).

Brazil has "great potential profits, inflation is falling, and economists predict five to seven years of steady GDP growth. Possessing large and well-developed agricultural, mining, manufacturing, and service sectors Brazil's economy outweighs that of all other South American countries and is expanding its presence in world markets. The maintenance of large current account deficits via capital account surpluses became problematic as investors became more risk adverse to emerging market exposure as a consequence of the Asian financial crisis in 1997 and the Russian bond default in August 1998. In January 1999, the Brazilian Central Bank announced that the real would no longer be pegged to the US dollar. This devaluation helped moderate the downturn in economic growth in 1999 that investors had expressed concerns about over the summer of 1998." (Offshore Yellow Pages). Compared to other South American countries, Brazil's political scenario has been relatively stable and is dominated by seven major political parties. The Government has been implementing numerous policies that promote equal economic growth by ensuring that rural development is at par with progress in other areas of the country. The Government has attracted greater foreign investment by signing several trade agreements and it has also been implementing various policies to technologically enhance the country. However Brazilian legislators are far from calling themselves effective in work. Brazilian economy still has nonsatisfactory fluctuation, more than 40% of the population lives in total poverty, infant mortality is high, transportation and educational system have big issues to be solved, and although President Lula has promised to bring the issues of rampant red tape, corruption and organized crime under controle, crime and corruption are a huge problem (BRAZIL: Economic Policy Analysis). Brazil wants to be recognized as an international political force and is therefore pushing for permanent membership of the UN Security Council. Brazil was the driving force behind the creation of MERCOSUR, a regional trade agreement, and is its dominant member. The country has been especially active in recent WTO discussions, leading a contingent of developing nations against the suggested policy changes of the G8. September 11, 2001, have brought forth, in Brazil as elsewhere, the realization that some terrorist groups have become global in their methods and scope. Cooperation within the international community is required in order to curb effectively that menace. Over the past few years, since September 11, 2001 Brazil has intensified its contribution to international efforts to fight terrorism. The Brazilian Government developed a fruitful relationship with competent institutions especially but not exclusively, within the UN system and with our friends and partners in the international community, including the United States. (The Brazilian Experience in the Fight Against Terrorism)

Read more: http://www.businessteacher.org.uk/free-economics-essays/brazil-facing-several-economicchallenges.php#ixzz2MY6itjLW

Brazil will be a key global player by 2030


Posted by : GFI Media Posted date : January 8, 2013 In Brazil 0

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2012 has been eventful for Brazil. Sectors have grown; well known businesses have expanded into the country and the government have shown a willingness to tackle pressing issues like deforestation. On top of preparing for 2014s World Cup and 2016s Olympics, Brazil has been making arrangements to improve various areas such as Porto Maravilha and even some of the slums that were once avoided by Brazilian police. It has now been revealed that China, Brazil and India will be especially important when it comes to the global economy in 2030. According to the Global Trends 2030: Alternative Worlds report, a tectonic shift means that the health of the global economy increasingly will be linked to how well the developing world does more so than the traditional West. Surprisingly enough, developing countries will face challenges, especially when it comes to their efforts to continue the same momentum behind their rapid economic growth. China faces being stuck in middle-income status with its per capita struggling to increase. India faces similar problems, including large inequalities between rural and urban sectors within society, increasing constraints on resources such as water, and a need for greater investment in science. While Brazil wasnt said to face any particular challenges, the report also noted that Colombia, Indonesia, Nigeria, South Africa and Turkey would become especially important to the economy. Brazil is continuing to see companies expand into the country with Fuji establishing a sale and marketing company in a bid to strengthen the establishment of overseas operational foundations Their main business activities will include:

Sales of general component products, including inverters, power semi conductors, HMI, instrumentation, electric distribution and control equipment and photoconductors Sales of industrial factory automation systems and other related systems Sales support to various kinds of plant systems involved in the production of civil infrastructure, including electrical power, traffic and waterworks Market research activities to monitor policy, economic trends and market conditions in Latin America

Fuji is a Japanese multinational photography and imaging company headquartered in Tokyo. Founded in 1934, the company has over 35,000 employees as of March 2011.
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