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The benefit and danger of corporate social responsibility
Political risk is the likelihood that political forces will cause drastic changes
The benefit and danger of corporate social responsibility
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1. In your opinion, is there still political uncertainty in Brazil?
Political risks is defined as the unanticipated likelihood that foreign investment of business will be constraint by a host government policies (Luthans, 2014). However, when political parties of Brazil or any other nation change any rulings the risk increases. In addition, democracy countries like Brazil my face additional risks because of factors that impact their economy. Therefore, political risks have different characteristics such as Transfer (i.e. stem from government policies that limit the transfer of capital, money, labors, technology, etc. from host country) operational risk (i.e. policies from the host government that directly places a constraint on management and
Because Brazil problems should have been addressed prior to becoming a MNC in that country and in that respect MNCs should have consider both macro and micro risks of that country to minimize any risks with any operations in a developing or emerging economies. Risks are high and expected; so are high returns and long term potential. Brazil offers advancement as far as market and expansion through neighboring countries and has the easiest entry than other South American Countries. Therefore, both BellSouth and AES should consider the government policies of Brazil by meeting their concerns. By adjusting their strategies MNCs can use various techniques (i.e. integrative, protective, defensive and
Therefore, MNCs may consider joint ventures and/or outsourcing as alternatives. Providing social responsibility to align with the need of the culture of Brazil that will provide a better picture of the MNC and this will provide support from the locals and help their operations within the country. MNCs should use micro methods to improve their operations. In addition, if MNCs human resource practices are more focused on the culture of Brazil this may help them as far as being motivated and provide a competitive advantage in an unstable
For the government to overcome deficiencies efficiently in the sectors of industry, the private sector must have an active involvement in capital investment and creation of services. Brazil’s potential in a global market is set back by inefficiencies in infrastructure that turn away private investment.
Larry Rohter was a journalist in Brazil for 14 years and from his experiences he offers in this book some unique insights into Brazilian history, politics, culture and more. In 10 topical chapters Rohter’s easy-to-read book provides a look at Brazilian history and the extraordinary changes the country has undergone -- and is still undergoing. Rother covers many significant issues, but several stand out more than others. Namely: the country’s history, culture, politics, and finally its economy/natural wealth.
In seeking to develop relationships with Brazil, one must keep in mind how tight and controlled the government has become over every day affairs. A corporation would be wise to develop training programs for international consultants on issues facing the country, which is similar to the idea of the American version of lobbyists. A government that is very active in everyday affairs contains government employees that may or may not be subject to bribery; however, it is likely that corruption is a big part of the struggles of the poor to attain upward social mobility.
What is culture? Culture is the characteristics that describe a certain group of people. Culture defines those groups of people through religion, language, food and arts among many more. Culture is made up of many long lived traditions passed on through different regions. Brazilian culture is one of the most diverse out there. Some would say it has similarities to American culture when relating it to a "melting pot". Over 75% of the country follows the Roman Catholic faith. The official language of Brazil is Portuguese due to mass Portuguese settlements in much earlier centuries. Brazilian culture has a main focus on family unity and most Brazilians have a large number of family members.
In addition, the Political risk confronted by organizations can be demarcated as “the jeopardy of a financial, strategic or employees’ loss for the organization for the reason of such nonmarket aspects including the social and macroeconomic policies, or occasions connected to political variability (riots, terrorism, coups, insurrection and civil war). Furthermore, administrations may face difficulties in their aptitude to implement military, diplomatic or other ingenuities as a consequence of political jeopardy (Goddard, 1990)
In the 1500s Pedro Alvares Cabral landed on Brazil, previously a inhabited by tribal nations, and claimed the land in the name of Portugal. Brazil remained a Portuguese colony until September 7, 1822 when it declared its independence becoming the Empire of Brazil making the nation a constitutional monarchy with a parliamentary system. In early 1964, a Military junta took control of the nation until it fell in 1985 further changing the structure of the nation, and finally in 1988 a formal constitution was created enacting 26 states encompassing its boarders. Throughout the history of Brazil, the nation was never able to fully immerse itself in the international market and expand its economy, until today. Latin America has not had the best of luck when it comes to economic development and many nations in Latin America have similar issues when it comes to economic and societal development, and many of these issues are cause by the same things. For example, before the military coup in 1964 Brazil was in massive amounts of debt to international partners, however, during the military rule the payment of this debt was halted so the trust and economic backing of countries stopped with the payments. Many plans have been enacted after the fall of the military control to reverse the economic downfall that occurred in the country and continent in the 20th century and especially in the 1980s, the lost decade. In Brazil alone, there have been at least seven economic plans to reverse the economic hardships of the country, from the Cruzado Plan to the Real Plan, none seemed to work. However, in the past decade the Brazilian economy has seen an amazing increase and the condition of life of the people in the nation has increased with it. The quest...
Due to its high population rate (large labour pool), its vast natural resources and its geographical position in the centre of South America, it bears enormous growth potential in the near future. Aligned with increasing currency stability, international companies have heavily invested in Brazil over the past decade. According to CIA World Factbook, Brazil had the 11th largest PPP in 2004 worldwide and today has a well established middle income economy with wide variations in levels of development. Thus, today Brazil is South America's leading economic power and a regional leader. 2.
Recently, there has been a concerted effort from the Brazilian government to project their country as a “serious” power on the international stage. After many years of what could be deem as a failure of realized potential, Brazil is finally beginning to understand its worth as a major contributor to world affairs. Given its strategic location as the second most important country on in the Western hemisphere, and arguably the most important country on the Southern hemisphere, Brazil is poised to become an international powerhouse, the like of which South America has never seen. To fully utilize the opportunities being presented to Brazil in the coming years it is imperative that the Dilma regime bolster its reputation through increased efforts of international cooperation with emerging world markets.
In May 2009, I was ready to leave my home in Brazil to study in the United States. A few days after arriving in America I started to take "summer classes" at West Virginia State University. Since then a lot has changed in my life as a person and as a student. I have made new friends in West Virginia and done well at my studies. I have changed majors which added an extra year to my studies. My grandmother passed away in 2010 when I was taking my finals during my second semester at school. And, in the same year one of my two nieces, Juliana, was born. Life was happening, and changes were taking place. I was so busy with my studies and adapting into the new routine that I forgot to consider that my country, Brazil, was going through transformations as well.
Effective competition is widely seen as a key to the development of telecommunications services. The ability of new telecommunications networks to interconnect fairly and efficiently with existing networks is critical to the development of competition. AT&T has undergone numerous changes since its inception in the late 19th century. The McKinsey 7 S framework as applied by Pascale is recommended to manage the changes they are facing to adopt a greater competitive presence in the global economy. In conjunction with this framework, numerous other models were applied to analyse the global competitive position of AT&T. Recommendations for a revised strategy and direction for AT&T have been made throughout this document including two scenarios of how the telecommunications industry might develop towards 2000, while outlining the impact on AT&T.
In the current economic times the development and growth of any economy has come to a near stop or at least to a drastic slow down. The face of the global economic environment has changed and many new countries are starting to change the way their country and the rest of the world does business. One such nation is Brazil, who has turned around their own economic troubles and is becoming one of the fastest growing economies in the world (World Factbook). Brazil has started developing its economy and using the opportunity to achieve a level of respect in the world.
Brazil was first “discovered” on April 22nd, 1500 by a fleet of portuguese settlers, on a ship commanded by Portuguese diplomat Pedro Cabral that was making its journey to India. When Pedro first set eyes on the land he first assumed it was a small size island. However, they came to find it was quite large, and inhabited with native people. Brazil was attractive for many Europeans such as the French, the Dutch, and the Spanish due to its resources such as red-dye wood, gold and silver, sugar, and precious stones. On December 7th, 1822, the country declared its independence from portugal and became its own country.
As a nation, Brazil has a long and eventful history, involving both its post-colonial status as an ex-member of the Portuguese imperial regime and the long term history of its pre-colonial indigenous tribes. Borrowing from information provided by Boris Fausto, a professor at the University of Sao Paulo in his book A Concise History of Brazil, it is clear that Brazil is a country confused in its post-colonial identity. While colonialism brought massive wealth and prosperity to a nation that is rich with resources, the question of the treatment of the remaining indigenous tribes remains a deep-rooted issue for many Brazilians.
Developing countries like Brazil and India are getting divided into high quality formal and informal areas marked by insecurity and poverty. Due to urbanization in cities, there is a geographical concentration of high income groups in some places and poverty and less income groups in others. Due to uneven geographical distribution of socio economic resources health inequalities also persist resulting in poor people having poorer health. Greater inequality is therefore correlated with health of poorer population.
Education is one of the most important factors in improving economic development in countries. Education allows countries to improve human capital which causes an increase in the rate of return to countries GDP (Kruss). Over the years, Brazil has lagged behind other countries in terms of education, causing the country to not be one the same level of productivity as other high-developing countries. The backwardness of education in Brazil stems from social and political differences throughout Brazil’s history and the large poverty cycle throughout the country.