Brazil - The Perennial Under Achiever


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Case Details:

Case Code : ECOA104
Case Length : 17 Pages
Period : 2003
Organization : -
Pub Date : 2003
Teaching Note :Not Available
Countries : Brazil, Latin America
Industry : -

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Brazil did not become America because it didn't want to. It was not as a nation prepared to sacrifice everything for economic progress, as America was. Perhaps it is our cultural choice, rather than a failing, that we are not prepared to sacrifice present well being for future prosperity.

- Eduardo Giannetti, Economist and Philosopher1.

Introduction

Brazil, the largest country in Latin America and the fifth largest in the world was endowed with huge natural resources. With 160 million people, Brazil accounted for one third of the population of Latin America. Brazil had a genuinely federal structure.

Its 26 states had substantial economic and political autonomy. Brazil was classified as a middle-income country. But the country had glaring income disparities. The poorest 50% accounted for only 10% of the national income, the same as the richest 1%. Brazil was the world's most prominent coffee-producer.

The country had vast mineral and hydroelectric potential and hardwood forests...

Excerpts >>

1] The Economist 20th February 2003.

 

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