Pestel Analysis of Brazil for Breadtalk

Pestel Analysis of Brazil for Breadtalk

Xiao Dengke (NicholasXiao)

1.1 Objective
BreadTalk---a well known chain bakery in Singapore which is mainly providing healthy, fresh, delicious, new concept bread food products, it’s very successful and it is well accepted by someone who has tried it. It has extended market abroad in China, Vietnam, Malaysia and Indonesia and so on within a short time since it was founded.

In this report, by using the PESTEL analysis on the nation--Brazil, which focusing on the elements such as Political, Economic, Social, Technological, Environmental and Legal, based on the results of those factors’ analysis, I wanted to find out whether Brazilian market is suitable for BreadTalk bakery to extent its business or not.

1.2 Chosen Host Country and Rationale
Federative republic of Brazil is located in South America, and today it is the fifth most populous country (203million) and the seventh economy in the world. The high population and fast speed development can become positive elements for BreadTalk’s investment. Brazil is a multicultural society, its particular historical background and rich natural resources make Brazil attractive and different. Nowadays, Brazil is the most powerful country in South America and it has acquired a strong position in global economy. There are many foreign companies invest in Brazil markets. Hence, Brazil probably will be one of the best places for BreadTalk to consider its investment.

2. Environment Analysis
2.1 Political
Brazil’s government is a Federative republic and the country is divided into 26 states and with one federal district. There are many bureaucracies and corruption into the government---some of them divide the national interest, embezzlement, misappropriation of public property (Expat Brazil, no date).The corruption has been influenced Brazil’s economy and development for a long time, not only prevent the local companies business, but also on the part for foreign companies from investing,...

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