Strategies for Companies Doing Business in Brazil

BRIC Country Series: BrazilBRIC Country Series: Brazil

Strategies for Companies Doing Business in Brazil

11© 2013 ITAP International, Inc. All Rights Reserved.

Table of ContentsTable of Contents

Management Strategies

Expats in Brazil

Strategies for Engaging Clients

Special Offer


Management StrategiesManagement Strategies1. Currently, the most important business issues for

( ti d t ) i B ilmanagers (natives and expats) in Brazil are: • Managers will have to get the best results with smaller

teams, due to reductions caused by the recent economic crisis; they will need employees that can fill more than one position in the company.

• They will need a good performance evaluation program and should plan carefully their training needs in order to prepare people to assume new responsibilities as soon as possible.

• Big projects will be broken down into small initiatives. • They will have to carefully manage costs and time expended

on projects.• Managers also have to get as much information as possible


g g pto support their decisions, through both formal and informal channels.

Management StrategiesManagement Strategies

2 Eff ti l d hi i B il i l d th f ll i2. Effective leadership in Brazil includes the following behaviors: • An effective manager should have a long term vision.g g• Have the ability to analyze and evaluate targets and results. • They should always provide the team with necessary

information and conditions to meet the resultsinformation and conditions to meet the results.• Personal needs or problems should be considered so that

the employee feels valued and respected as an individual. • Flexibility is very important• Flexibility is very important.


For Your InformationFor Your Information…

B i i t d t d d i th f ll i tiBusiness is not conducted during the following times and or occasions:

• Weekends or during events such as the World Cup or the g pOlympic games

• School holidays – July (short break – for a month) and end of the school year (long break December, January, February)y ( g , y, y)

• National Holiday ( 7th September)• Labor Day• Religious holidays• Religious holidays• Carnival – end of February or the beginning of March (4 days

Sat/Sun/Mon/Tue/Wed until midday)


Motivating EmployeesMotivating Employees

B ili ’ i t ti th t th t d t l• Brazilians’ group-orientation means that they tend to value improvements in the work environment, including the physical conditions of the workplace. This preference reflects their need to feel a sense of belongingfeel a sense of belonging.

• In response, some companies, especially wealthy international fi k f iliti h fi ld b b it difirms, make facilities such as a soccer field, barbecue pit, reading room, and or television room available to their employees.


Expats in BrazilExpats in Brazil

1 Wh t th t i t t i f t1. What are the most important issues for expat managers in Brazil to get right? • Get to know the culture, customs and values.• Respect Brazilian customs and values.• Respect Brazilian women.• Respect their football team.• Avoid conflict.• Value relationships more than tasks.• Offer guidance. g• Provide verbal appraisals and recognition.• Try to communicate in Portuguese; at least offer greetings and

thanks in Portuguese.


• Take care of the group (their needs, their problems) as if a parent might.


2 H t t i ll i d?2. How are expat managers typically perceived? • Expat managers can be perceived as very important people

and considered as very competent professionals because they deserved the company’s confidence and investment of sending them to another country.

• Their opinions are respected and valued. • If adaptation doesn’t occur (between both expats and locals)

they can be perceived as arrogant, out of place and authoritarian.



3 If t d ’t i li h h b3. If an expat doesn’t socialize, he or she can be perceived by Brazilian nationals as arrogant.

4. When expats criticize Brazil and the Brazilian way of life (e.g., food of style of dress), they might be asked whether they would like to return to their home country.



5 S ti d b h i i t f5. Some actions and behaviors are appropriate for natives of Brazil, yet should not be adopted by expats who are not completely fluent in Brazilian p p ypractices and culture. Here are a few examples:• Brazilians criticize their country and the government, but

don’t like foreigners talking about their problems Criticismdon t like foreigners talking about their problems. Criticism can be taken as a personal offense.

• Expats should not try to dance “the Brazilian samba” if they are not trained for that otherwise they will become the focusare not trained for that, otherwise they will become the focus of jokes.

• Religion is not an appropriate topic for discussion.


Strategies for Engaging ClientsStrategies for Engaging Clients

1 T b ild t ith t ti l li t i B il1. To build rapport with potential clients in Brazil...• Get to know the market (including the client’s position in the

market), its needs, weaknesses and opportunities. • Offer solutions and suggestions.

2 When visiting a prospect or a client2. When visiting a prospect or a client...• Get to know the client and his/her vision of the future for the

organization.



33. Vendors should avoid. . .• Offering “imported” solutions without considering the local

reality/market.• Assuming that Brazilians don’t know how to take care of business.• Playing the “smart guy.”

4. When negotiating with prospects or clients from Brazil. . . • Always begin with small talk in conversation before talking about

business.• Show respect by exhibiting knowledge of your prospect’s / client’s

company. • Show respect for their product. • Be willing to contribute to their development / expansion /

improvement


improvement.


5 R i i d h dli fli t5. Recognizing and handling conflict• Conflicts arise for several reasons but one of the strongest

is when a conflict of interest occurs. This situation is supposed to be handled with maturity and in a productive way for both parties involved.

• Unfortunately, conflicts are sometimes handled in a very emotional way. It is important to stay calm.



6 T i t i l ti hi (f th f6. To maintain a relationship (for the purpose of getting follow-on business) . . .• Keep a good after sales follow up program showing new p g p p g g

solutions and quickly correcting product problems. • Send greeting cards and mementos at the end of the year.


Hofstede Scores for BrazilHofstede Scores for Brazil

1. Individualism: 38 (Group Orientation)

2. Power Distance: 69 (Hierarchical(Hierarchical Orientation)

3. Certainty: 76 (Need for Certainty)Certainty)

4. Achievement: 49 (Quality of Life Orientation)

5. Time Orientation: 44 (Short-Term Orientation)

The graph above provides a snapshot of the culturally based values in Brazil The scores that extend furthest


The graph above provides a snapshot of the culturally based values in Brazil. The scores that extend furthest away from the line in the middle are the most significant. The graph shows that Brazilians tend to be group-oriented, accept a hierarchical power structure, have a need for certainty, and are short-term oriented.

Cultural Disharmony Undermines yWorkplace Creativity

“Managing cultural friction not onlyManaging cultural friction not only creates a more harmonious workplace,

says professor Roy Y J Chua butsays professor Roy Y.J. Chua, but ensures that you reap the creative benefits of multiculturalism at itsbenefits of multiculturalism at its

best.”SOURCE Bl di Mi h l W ki K l d H d B i S h l 09 D 2013 R h & Id


SOURCE: Blanding, Michael, Working Knowledge, Harvard Business School, 09 Dec 2013 Research & Ideas

Special Offer ITAP’s GTPQSpecial Offer – ITAP’s GTPQ

1 If l d t th t th i lt l i li t1. If you already suspect that there is cultural misalignment among and between team members…

2. If you want to examine the gaps in work-related values within tyour team..

3. In order to bridge the gaps to motivate employees, work more effectively with colleagues, be better at engaging with clients…

4. If it would help focus the team by comparing your team’s culture with the culture of the 5 best teams in ITAP’s database…

…ITAP’s Global Team Process Questionnaire™ (GTPQ) identifies cultural misalignment as well as other areas that

need work so you can focus on team improvement. The GTPQ ld l ll t h /i t


would also allow you to measure change/improvement over time.

Measuring Cultural DisharmonyMeasuring Cultural Disharmony

ITAP measures human processITAP measures human process interactions on teams which include:• Executive overviews• Both quantitative answersBoth quantitative answers

and qualitative insights• Automated diagnosisAutomated diagnosis• Customized with questions

that address your team


that address your team goals…

Avoid Ambient CulturalAvoid Ambient Cultural Disharmony…

PROMOTION: Buy 1, get 1 FREE (GTPQ team analysis)

Buy 1 iteration of ITAP’s Global Team Process Questionnaire™ (GTPQ*) at $1000 and also receive 1 hourQuestionnaire (GTPQ ) at $1000 and also receive 1 hour

virtual debrief with each iteration. Email me ([email protected]) and enter PROMOTION CODE

B14GTPQ i th bj t liB14GTPQ in the subject line*GTPQ (Premium Version) retails for $1,000/team plus debrief or delivery of interventions for the

team @ $350/hour


Questions? Please email or call me…

Catherine Mercer Bing

Questions? Please email or call me…

CEO, ITAP International, [email protected]

ITAP International, Inc.353 Nassau Street, 1st FloorPrinceton, NJ 08540 USA(W) 1 215 860 5640(W) 1.215.860.5640http://www.itapintl.com

…thank you…Remember! Put your PROMOTION CODE: B14GTPQ

in the subject line of your


in the subject line of your email.

Strategies for Companies Doing Business in Brazil

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