The Brazilian business environment is as rich and varied as the country
itself. With a population of about 190 Million, a territory that can fit the
whole USA (minus Alaska) and with Spanish, Portuguese, German, Italian
and African influences, to name a few, you cannot expect anything less.
In order to then break down this varied environment into bite]size chunks,
we will make use of Michael Porterfs PEST model (namely Political/Legal,
Economic, Social/Culture and Technological) to give you a broad overview
of what you will come across in your dealings with Brazil.
Political and Legal
Brazil has been operating as a Federal Republic since 1985 and consists of
26 states and a federal district. These states are divided into five regions,
. North (Acre, Amapa, Amazonas, Para, Rondonia, Roraima,
. North East (Alagoas, Bahia, Ceara, Maranhao, Paraiba,
Pernambuco, Piaui, Rio Grande do Norte, Sergipe)
. Central West (Goias, Mato Grosso, Mato Grosso do Sul, Federal
. South East (Espirito Santo, Minas Gerais, Rio de Janeiro, Sao Paulo)
. South (Parana, Rio Grande do Sul, Santa Catarina).
. Federal: Chamber of Deputies (513 seats), Senate (81 seats)
. States: Unicameral legislatures in each state and in the Federal
. The presidential elections run every four years and the president
can be elected for a maximum of two four]year terms.
The Brazilian legal system is based on Civil Law tradition and the Federal
Constitution, in force since October 5th, 1988, is the supreme rule of the
country. The Constitution organizes the country as a Federal Republic,
formed by the indissoluble union of the states and municipalities and of
the Federal District. The 26 federate states have powers to adopt their own
Constitutions and laws; their autonomy, however, is limited by the
principles established in the Federal Constitution.
c Copyright 2010 UHY International Ltd ]4]
Federal laws take precedence and are hierarchically superior to any state
or municipal law. The federal government has the exclusive authority to
legislate on civil, commercial, penal, procedural, labour, electoral, agrarian,