This paper will analyze and examine Peru’s political, legal, economic, and cultural system and risk involved. Furthermore, I will discuss the challenges and opportunities of doing business in Peru. Lastly, I will market a product to enter Peru and consider the opportunities for this product to succeed.
Peru 's political system is a constitutional republic with a multi-party system. The government consists of three branches; executive, legislative, and judicial. In the executive branch there is a president and two vice presidents. The president is the head of state and government. A president is elected by popular vote for a five-year term in addition to eligibility for nonconsecutive terms (IBP, Inc. 13). Additionally, the president appoints
Thus, Peruvians display close proxemics. Communication is not usually direct, and people may have to read between the lines. An example of paralanguage is silence. “Silence could express embarrassment or otherwise communicate a negative message.” ("The Global Business Culture Guide - Peru"). "The Global Business Culture Guide - Peru” mentions that it is best to use an indirect approach when first dealing with Peruvians. However, once a strong relationship has been established business negotiations can be direct. Another example of paralanguage is Peruvians usually speak softly. Unless when making a point they will speak loudly. Examples of kinetics behavior used by Peruvians are lightly tapping on the head, which means “I am thinking’ ("The Global Business Culture Guide - Peru”). Also, eye contact is necessary to help build trust and show honesty. Peruvians use non-task sounding, which is “general, polite conversation and informal communication before meetings.” (Deresky). Another important factor is formal attire and business lunches or dinners. Especially, since first impressions have a significant impact on how a business will perceive you. The decision-making process can be slow and take time. Peruvians rely on feelings and experiences rather than facts. Also, Peruvians do not like change and rarely take
Power distance is defined the way in which power is distributed and how the less powerful accept it. Hofstede states that Peru’s high power distance can be traced back to the strutted and centralized Inca empire, colonial government, or the church. However, people with less power see superiors or government officials difficult to approach and do not trust them ("Geert Hofstede”). Also, individuals with higher power see others as a lower class and ask for respect. Next, individualism Peru scored a sixteen. Individualism is seeking the best for one’s self or family only. Peru focuses on collectivism which emphasizes the success of the group instead of the individual. Additionally, the focus is not just on one’s self or family, but also extended family and friends. Masculinity scored a forty-two. Therefore, Peru is more of a feminine society. Hofstede reports “A low score (Feminine) on the dimension means that the dominant values in society are caring for others and quality of life.”. Then, Peru scored an eighty-seven for uncertainty avoidance. Uncertainty avoidance explains if a community likes an unstructured or structured environment Next, long-term orientation with a score of twenty-five. Long term orientation involves virtues directed toward the future, one’s values consist of persistence, perseverance, and being able to adapt. Finally, indulgence with a score of forty-six. “Indulgence
them. A logical explanation can be granted through the mixture of Peru’s society and the
The United States is made up of three branches of government. They are Executive Branch, Judicial Branch and Legislative Branch. The Executive Branch is the power of the president, who is also the commander- in-chief of the military. The executive Branch carries out law made up by the President. The other parts of the Executive Branch are Vice President, and the cabinet. The Judicial Branch goes through the Supreme is responsible for administering laws of the states. The Judicial Branch makes up the court system. It makes up the Supreme Court and other Federal Courts. The Legislative Branch is responsible for the declaration of war and the right to confirm or deny Presidential appointments. The current president of 2017 is Donald J. Trump. The Vice President’s name is Mike Pence who is a republican just a Donald J. Trump. The Vice President supports the president, if the president should parish the Vice President can take over in the president’s place. The Cabinet are requested by the president and must be
Quinoa’s importance has evolved tremendously since its first appearance during the early Incan Empire. Quinoa has boosted the Peruvian Economy extraordinarily and is only continuing that streak. The Ancient Incan Empire was one of the first to discover Quinoa. In Ancient times, the quinoa production was quite low compared to what it is today, because they kept it within their empire for the most part. Quinoa back then was not exported to a variety of civilizations, whereas it is in modern times Quinoa is a product from the Andes Mountains that is a gluten free grain (Cooking with Quinoa). In modern times it has been a major economic boost for Peru, because they have exported so much of it that the income rate of cash has gone up significantly, and changed Peru’s economy drastically. Which is a major food product in Peru, and has boosted their economy, around $23 million in one year (Quinoa Selection). This staple crop has been a major impact on the Andean economy, especially Peruvian economy.. While Quinoa has been grown in Peru since ancient times, in the modern world, it has become more economically significant to the Peruvian economy.
In the northeast the sierra slopes downward to a vast, flat tropical jungle, the selvas, extending to the Brazilian border and forming part of the Amazon Basin. The mountain attains a maximum width of about 965 km (about 600 mi) in the north and constitutes some 60 percent of the Peruvian land area; it is covered with thick tropical forests in the west and with dense tropical vegetation in the center and east.
The Honduran economy’s extreme sensitivity to a wide range of shocks—internal and external, endogenous and exogenous—is largely responsible for its pattern of slow and uneven growth punctuated by repeated crashes. Honduras’ economy is small, open, largely agricultural and predominantly informal. A lack of physical and institutional infrastructure, an adverse business climate, burdensome regulations and high security costs discourage investment, inhibit diversification and slow the reallocation of capital and labor, creating structural rigidities on the supply side. Agricultural output is especially vulnerable to both market volatility and exogenous shocks, as the sector focuses on a narrow range of primary commodities produced with limited
Another aspect of Hofstede’s study reveals that Peru has an idex score for indidualism of 16, which is relatively low. This shows that Peru, in contrast to the USA has a social orientation towards collectivism. This indicates that the Peruvian society values relationships and collective well-being rather than personal accomplishment and freewill, which is a common value held amongst Latin American nations.
Power distance defines the influence of power dynamics within a culture or family that shows the ”consequences of power inequality and authority relations in a society (Soares, Farhangmehr, & Shoham, 2007).”
“ Ecuador Business > Economic Overview & History,” Ecuador Explorer, http://www.ecuadorexplorer.com/html/business_in_ecuador.html, vie we d on 18 November 2004.
Peru is located in western South America with an estimated population of 30 million. It is multinational, including Europeans, Africans, Asians and Amerindians. The national language of the country is Spanish, however a significant number or Peruvians still speak other native languages. Peru is a representative democratic republic that is divided into 25 regions. It is a developing country with a poverty level around 25 percent. Its main economic industries are mining, manufacturing, agriculture and fishing. The history of Peru spans multiple millennia and gone through several stages of cultural development in the mountain region and the coastal desert. About 15,000 years ago, humans are believed to have crossed the Bering Strait from Asia and moved south surviving as nomads. The Peruvian region was home to the Norte Chico civilization, one of the oldest in the world, and to the Inca Empire, the largest state in Pre-Columbian America. The Spanish Empire conquered it in the 16th century, which established a Viceroyalty with rule over most of South America. The nation declared independence from Spain in 1821, but consolidated only after the Battle of Ayacucho in 1824.
Colonizing has a big effect on a country making it either beneficial or negative. It also leaves many legacies behind influencing how a country functions today. When a country gets colonized they are introduced to new cultures and ideas that are brought over by the country that colonizes them. During the colonial period of Peru the Spanish brought over their culture and ideas influencing and leaving behind different legacies. These legacies that are left behind affect a country throughout their development of a country. Francisco Pizarro and his Spanish settlements were responsible for the conquering of Peru in 1532. Peru inhabitants were known as Incas and they lived in the Inca Empire. Peru is in the South American continent located on the
A very important event in Peruvian history is how Peru gained its independence from Spain. It all started with an uprising of Spanish-American landowners and their forces were led by Jose de San Martin of Argentina and Simon Bolivar of Venezuela. Because Peru was the stronghold of the Spanish government in South America, Argentine patriot, General San Martin’s strategy to liberate Peru was to use diplomacy. He sent representatives to Lima urging Viceroy Pazuela that Peru be granted independence, however all negotiations proved unsuccessful. They then launched Peru’s movement toward independence. San Martin led the military campaign of 4,200 soldiers. On July 28, 1821, he proclaimed the independence of Peru in Lima and said, “From this moment on, Peru is free and independent; by the general will of the people and the justice of its cause that God defends. Long live the homeland! Long live freedom! Long live our independence!” However, Spain did not identify Peru’s independence and the conflict continued. In 1824, Simon Bolivar and his assistants assembled the army at the Lake of Junín...
The Incan political system was one of superior sophistication for its time. The political system was that of an aristocracy meaning that a few entitled people ruled the rest of society. The Incan government was organized in a pyramid-like fashion, with the most power resting in the hands of a few and working its way down. The Sapa Inca was at the very top of the pyramid; he was also referred to as the king. He was the descendant of the Sun God Inti. He ruled form the capital Cuzco. The most famous Inca king was Pachacuti. Following the Sapa Inca in power were the members of the Supreme Council, or the Apus. There were 16 men in the supreme council and they held power much like the senate does today. Each Apus had 4 men, and each quarter had
As my friends and I continued to explore the many murals of the crossing between 24th street and Balmy Street, I found a mural that not only connects to the topics we covered in class but also to my own family’s life and our “ancestral” home. On the far end of the alley full of murals, past the depictions of gentrification, aztec pyramids, and mobilized social uprising of the past, there was a fiery image of violence against a mestizo village by what looked as military soldiers of some type of government. From afar, you could not tell the exact event depicted in the mural because after all, Latin American history is plagued with abuses from the government against its indigenous communities, citizens of other nation states and even their own
Peru was home to the Norte Chico civilization who were believed to have crossed the Bering Strait from Asia to North and South America over fifteen thousand years ago. These people made up many tribes who thrived all over Peru. They are one of the six oldest civilizations in the world and were known to be nomads, fishing, hunting and gathering fruits and vegetables all over Peru. Eventually, these tribes joined together to make the Inca Empire, the largest state in Pre-Colombian America. This empire was centered in Cuzco, and spanned a vast region from Chile to Ecuador. The Incas fought many Civil wars which weakened their own empire.
Power distance demonstrates “the extent to which less powerful members of institutions and organisations within a country expect and accept that power is distributed unequally”. Greece has a PDI score of 60 (high). A culture with a high PDI score is a culture that believes that the elders in a family should be treated with upmost respect and “inequalities among people are acceptable”. This is considerably higher than Ireland which has a PDI score of 28 (low).