BMW Mini is planning to invest in a car manufacture in Brazil. This report is about if it is attractive for BMW Mini to buy a local company or cooperate with it. It concerns the following five aspects: Business Environment, Market Environment, Production and Expenditure, Business Cycle and International Economy and the Currency Markets. The purpose of this report is to find out if it is, and then how attractive it is for BMW Mini to invest in a Brazilian company. To come to a conclusion we used models like the PEST-analysis, Porter's Five Forces model and the four P's. .
1. The Business Environment .
Statistical Organizations .
Ministério do Planejamento. This organization is similar to the Central Planning Agency in The Netherlands and works in the exact same way. Annually it summarises the most important economics variables and publish them so companies can make use of it. www.planejamento.gov.br .
Brazil also has The Instituto Brasileiro de Geografia e Estatística (IBGE). On the website of this organization you can find numbers, information and news about indicators, the population, the economy and geosciences. You can download several things and there are many links to databases and other websites with similar information. Instead of the 'CPB', this organization is more comparable to the Dutch organization 'Centraal Bureau voor de Statistiek' (CBS). .
The Role and Influence of Government.
Brazil is a federal country with a presidential system in which the municipalities are no a creation of the states, as you would see normally in most federations. But municipalities are part of the federation together with the states.
The Brazilian car industry is regulated by the "Associaçião Nacional dos Fabricantes de Veículos Automotores" (Anfavea) this organization is part of the "Organisation Internationale des Constructeurs d'Automobiles "(OICA) that is based in Paris.