Brazil 1 Table of Contents Contents Doing Business in Brazil ___________________________________________ 10 Market Overview ______________________________________________________________ 10 Market Challenges ____________________________________________________________ 11 Market Opportunities __________________________________________________________ 12 Market Entry Strategy __________________________________________________________ 13 Political Environment ______________________________________________ 15 Selling US Products & Services _____________________________________ 16 Using an Agent to Sell US Products and Services __________________________________ 16 Establishing an Office _________________________________________________________ 16 Web Resources: .................................................................................................................................. 16 Franchising __________________________________________________________________ 17 Resources: .......................................................................................................................................... 21 Direct Marketing ______________________________________________________________ 21 Joint Ventures/Licensing _______________________________________________________ 21 Selling to the Government ______________________________________________________ 21 Distribution & Sales Channels ___________________________________________________ 21 Express Delivery ______________________________________________________________ 22 Selling Factors & Techniques ___________________________________________________ 22 e-Commerce _________________________________________________________________ 22 Overview ............................................................................................................................................. 22 Current Market Trends ........................................................................................................................ 23 Domestic e-Commerce (B2C) ............................................................................................................. 23 Cross-Border e-Commerce ................................................................................................................. 24 B2B e-Commerce ................................................................................................................................ 25 e-Commerce Services ......................................................................................................................... 25 e-Commerce Intellectual Property Rights ........................................................................................... 25 Popular e-Commerce Sites ................................................................................................................. 26 Online Payment ................................................................................................................................... 26 Mobile e-Commerce ............................................................................................................................ 27 Digital Marketing ................................................................................................................................. 27 2 Major Buying Holidays ........................................................................................................................ 27 Social Media ........................................................................................................................................ 27 e-Commerce Web Resources: ............................................................................................................ 28 Trade Promotion & Advertising __________________________________________________ 28 Pricing ______________________________________________________________________ 29 Sales Service/Customer Support ________________________________________________ 29 Protecting Intellectual Property __________________________________________________ 29 Intellectual Property Rights (IPR) Climate in Brazil............................................................................. 29 Patents, Technology Transfer Contracts, Plant Variety Protection and Genetic Resources .............. 29 Copyright and Computer Software ...................................................................................................... 30 Trademarks and Geographical Indications ......................................................................................... 31 Enforcement ........................................................................................................................................ 31 Government Organizations with Responsibility for IP and Technology Transfer Contract Registration in Brazil ........................................................................................................................... 32 Protecting Your IP in Brazil ................................................................................................................. 33 Due Diligence ________________________________________________________________ 35 Local Professional Services ____________________________________________________ 35 Principle Business Associations ________________________________________________ 35 Belo Horizonte, Minas Gerais, Brazil .................................................................................................. 35 Brasilia: (responsible for Northern and Midwest except the State of Mato Grosso do Sul) ................ 36 Recife in Northeast Brazil: (Except the State of Bahia) ...................................................................... 36 Rio de Janeiro (+ State of Espirito Santo, Souhteast and Bahia, Northeast) ..................................... 37 Sao Paulo (Southern and State of Mato Grosso do Sul, Midwest) ..................................................... 38 Limitations on Selling US Products and Services ___________________________________ 38 Oil and Gas Sector .............................................................................................................................. 38 Nuclear sector ..................................................................................................................................... 39 Health Care ......................................................................................................................................... 39 Mining .................................................................................................................................................. 40 Used Goods ........................................................................................................................................ 40 Web Resources _______________________________________________________________ 40 Government of Brazil .......................................................................................................................... 40 Industry and Trade .............................................................................................................................. 40 U.S. Government ................................................................................................................................ 41 Business Publications in Brazil ........................................................................................................... 41 Global organizations’ summaries of Brazil .......................................................................................... 41 3 Doing Business Guides on Brazil ........................................................................................................ 41 World Trade Center webpages in Brazil ............................................................................................. 41 e-Commerce Web Resources: ............................................................................................................ 42 Leading Sectors for US Exports & Investments ________________________ 43 Aerospace and Aviation ________________________________________________________ 43 Overview ............................................................................................................................................. 43 Leading Sub-Sectors ........................................................................................................................... 43 Opportunities ....................................................................................................................................... 43 Web Resources ................................................................................................................................... 44 Agricultural __________________________________________________________________ 45 Agricultural Products: .......................................................................................................................... 45 USDA/FAS/Agricultural Trade Office (ATO) ....................................................................................... 45 Airports _____________________________________________________________________ 45 Overview ............................................................................................................................................. 45 Leading Sub-Sectors ........................................................................................................................... 48 Opportunities 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