Essay on A.G Barr Market Entry Plan For Brasil

1187 Words 5 Pages
A business expanding into foreign markets is becoming a common occurrence in the world. A.G.Barr’s has proven itself to be successful in its own market, from its figures it shows it is the largest soft drink supplier in Scotland. The company offers a unique twist into the soft drink industry and so is looking into a country which already bolsters a big soft drink consumer base. After already expanding into the Russian and Australian market the best option for the company appears to be Brazil. This is due to the large tourist influx which is expected and also the already large consumer base

General Information about host country

Brazil is the world’s fifth-largest country in terms of land mass and population. The near 200 million
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In terms of employment, over 68% of people aged 15 to 64 in Brazil have a paid job, more than the OECD employed average of 66%. 80% of men are in paid work, compared to 56% of women. In terms of health, life expectancy at birth in Brazil is 74 years. Brazilians in general are more satisfied with their lives than the OECD average- 82% of Brazilians say they are satisfied with their life.
Income
With a gross domestic product (GDP) of US$ 2,223 trillion in 2012, Brazil is the world’s seventh wealthiest economy. Wholesale and retail trade accounts for 13% of total GDP. Gross Domestic Product in Brazil expanded 3.30 percent in the second quarter of 2013.
Brazil’s GDP per capita in 2012 was US$ 11,339.52, ranking them 60th in the world. This can be compared to China; their GDP per capita was US$ 6,091.01. China, in the same International monetary fund research were ranked 87th. Brazil’s GINI coefficient has seen a decline in inequality over the recent decades in Brazil. 21.4% of the population of Brazil are said to be living in poverty.
Natural resources
Brazil’s natural resources are coffee, iron ore, sugar-cane ethanol, oranges, deepwater oil, cattle, soybeans, aluminium and water and hydroelectric power. These natural resources have propelled Brazil’s nation of near 200 million people to the top level of global markets. Brazil’s economy has soared from the 16th largest

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