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Coca-Cola in Brazil

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Coca-Cola in Brazil
Contents 1.1 - Country Introduction 2 1.2 - Legal Environment 2 1.3 - Political Environment 2 1.4 - Economic Environment 3 1.5 - Business Environment 4 Labor 4 Taxation 4 Corruption 4 1.6 - Culture 5 General Brazilian Cultural Values 5 Comparison of Cultural Values between Brazil and America 5 Power Distance Index (PDI) 6 Individualism 6 Masculinity 6 Uncertainty Avoidance Index 7 Long-Term Orientation 7 2.1 - Coca-Cola in Brazil 7 2.2 - Corporate Organization 9 2.3 - The Organization of Coca-Cola Brazil 10 2.4 - Diversity and Human Capital 11 2.5 - Leadership at Coca-Cola 12 Geocentric Leadership and Human Capital 12 3.1 - Challenge #1 – Brazilian Tax System 12 3.2 - Challenge #2 – Potential for Changing Government Relations 13 3.3 - Challenge #3 – Recruitment of Transnational Managers 14 3.4 - Challenge #4 - Labor Relations 16 3.5 - Challenge #5 – Market Share 17 4.1 - Conclusion 18 Works Cited 19 Exhibits 22

1.1 - Country Introduction
The Federal Republic of Brazil is the 5th largest country in the world with 3.3 million square miles divided into 26 states and 5,000 municipalities. It also has the fifth largest population in the world at approximately 200 million people (CIA, 2010). Only China, India, the United States, and Indonesia currently have larger populations. Having gained its independence from Portugal in 1822, Brazil experienced many of the typical political and social challenges associated with Latin American colonies achieving autonomy. After a century and a half of successive dictatorships, the Constitution of 1988 established a democratic government with three branches: executive, legislative, and judicial. Brazil has since been a relatively stable country.

1.2 - Legal Environment
Within its judicial system, Brazil has both federal and state courts. Federal courts are primarily responsible for cases relating to foreign states or international agencies and maintain jurisdiction



Cited: Brazilian Values and their Influence on Business. (2007). BforBrazil.com. Retrieved September, 2010 from http://www.bforbrazil.com/values.html Badra and Romano Brazil Business Forecast Report Q4. (2010). Market Research.com. Retrieved September, 2010 from http://www.marketresearch.com/product/display.asp?productid=2750719&g=1 Brazil Central Banks Sees 2003 Inflation Above Target Brazil Must Reform Tax System to Secure Economy’s Growth. (2010, August 4th). The Wall Street Journal. Retrieved September, 2010 from http://online.wsj.com/article/BT-CO-20100804-713672.html Brazil - Political Parties, Issues, Future, Policy Brazil Takes Off. (2009). The Economist, 11/13/2009, Vol. 393, pg 15-15. Retrieved September, 2010 from http://www.economist.com/node/14845197 Business Technology Central Intelligence Agency (CIA). 2010 World Fact Book. Retrieved September, 2010 from https://www.cia.gov/library/publications/the-world-factbook/geos/br.html Citizenship Report Demarest e Almedia. (2006). Legal Aspects of Doing Business in Brazil. Demarest e Almedia Advogados. Retrieved September, 2010 from http://www.demarest.com.br/media/896319/doing%20business.pdf Doing Business FEMSA. (2010). Corporate and Profile History. Retrieved September, 2010 from http://www.coca-colafemsa.com/femsa/web/conteudo_en.asp?idioma=1&tipo=27616&conta=44 Ferguson, Cara. (2002). Comparing Brazilian Culture to American Culture. Helium.com. Retrieved September, 2010 from http://www.helium.com/items/309995-comparing-brazilian-culture-to-american-culture Global Competitiveness Report - Brazil Global Soft Drink and Bottled Water Manufacturing. (2010). IBISWorld. Retrieved September, 2010 from http://www.ibisworld.com.pallas2.tcl.sc.edu/launch.aspx? Guatemalan Union Leaders sue Coca-Cola Hofstede, Geert. (2009). Cultural Dimensions - Brazil. Geert-Hofstede.com. Retrieved September, 2010 from http://www.geert-hofstede.com/hofstede_brazil.shtml Isdell, Neville Kennedy and Tilly. (2002). Dancing to a Different Samba. Dollars and Sense. Retrieved September, 2010 from http://www.dollarsandsense.org/archives/2002/0902toc.html Kent, Muhtar Massive Support for Coca-Cola Campaign at World Social Forum. (2005). IACenter.org. Retrieved September, 2010 from http://www.iacenter.org/labor/colomb_cola0105/ McKay, Betsy One Hundred Years of Coca-Cola in Latin America. (2006). Coca-Cola Company. Retrieved September, 2010 from http://www.thecoca-colacompany.com/citizenship/pdf/Timeline_Coca-Cola_Latin_America_English.pdf Soft Drinks in Brazil Soft Drink Production in the US. (2010). IBISWorld. Retrieved September, 2010 from http://www.ibisworld.com.pallas2.tcl.sc.edu/launch.aspx? Trade and Antitrust - Brazil Vallada, Dan. (2009). FBD: Coca-Cola Brasil grows 5% in Q2 2009. FoodBizDaily.com. Retrieved September, 2010 from http://foodbizdaily.com/articles/91084-coca-cola-brasil-grows-5-is-q2.aspx Veiga and Martin

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