Ana CostaSchool of Business

Oral Roberts University

Oklahoma Governor Conference on Global EducationStillwater, Oklahoma

February 9, 2010

• The Goldman Sachs report, from 2003, speculated that by 2050 the BRIC (Brazil, Russia, India and China) countries would be wealthier than most of the current major economic powers.

• These countries are not forming a political alliance, but a powerful economic bloc.

Brazil, Russia, India and China:•Account for more than 25% of the world’s land area•Have more than 40% of the world’s population•In the 1990’s, all these countries went through economical and political reforms•These governments have greatly supported domestic consumption, FOREIGN INVESTMENT, and education

•Fifth biggest population and area in the world

•The Brazilian economy is ranked as 10th in

the world and 2nd in the Americas, according

to the World Bank ranking, measured by

purchase power parity.•Brazil is a member of diverse economic organizations (Mercosul, G20, and G8)

•Very receptive culture, that received a great

variety of immigrants (Europeans, Africans,

and Asians) and that blended with the land.•The country imports and exports many products that vary from food (Coffee, Soy, and bananas) to aircrafts (Embraer).

Possible situations and cultural differences that you might face when doing business in Brazil:•If you set up a meeting with Brazilians, you might noticed that they will probably show up about 15 or 20 minutes late.

*Do not take it personal! The participants of the meeting are not showing disrespect, it is acceptable in the culture. By showing discontent, Brazilians might see you as inflexible and not willing to adjust to difficulties

•In the business scenario, it is common for Brazilians to ask questions about a person’s family and a little of the personal life.

*In case somebody asks you personal questions, do not feel intimidated or “out of your comfort zone”, that is just a way Brazilians use to show that they are interested in you too (not just the business) and it is a common way to “break the ice”

•Brazilians do not plan far ahead. They might talk about it, but they will take actions right away when it concerns the future * For a long time, the Brazilian economy was very unstable and unpredictable, so it was very hard to plan ahead (specially in the financial area). So, for example, thinking of spending a lot of money now for returns that will take a long time to come, will get Brazilians worried. ** In the early nineties, the average inflation rate in Brazil was 764% per year, according to IBGE

•Usually, Americans like to have everything planned out and prepared, with step-by-step instructions. Most Brazilians are not like that. *It is not that Brazilians are unorganized, it is just that Brazilians enjoy the freedom to change and improvise , and they are good at improvising.

During Pan American Games in Rio in 2007Rio was bidding for 2016 Summer Olympic

GamesIt was about 75 degrees on that dayIt was in the media centerThe picture was put on a major Brazilian

newspaper next day

Reaction from the People of Brazil After the episode, Brazilians said it

reinforced their belief that Americans frequently stereotype other countries. “Americans are full of prejudices,” said Alessandra Teixeira, a 29-year old model. “Everything for them is bad, and they make it worse.”

Brazilians were very sad about what happened, specially because they had a history of insults from North Americans that do not know much about geography. As in the case of U.S. President Ronald Reagan, he was criticized when he visited Brasilia in 1982 and offered a toast to “the people of Bolivia.”

This serves a need for people without cross-cultural knowledge and skills to learn be more sensitive to a different environment.

It is very important for a country’s growth and economic globalization to have the knowledge, groundwork and ability to face diversity around the world.