Use Michael Porters Diamond Model of International Competitiveness to Assignment

Use Michael Porters Diamond Model of International Competitiveness to analyse the business structures and competitiveness of Brazil - Assignment Example The government has promised sufficient security system and proper infrastructure for both events. Corruption in the government hamper the economic stability in the country and in 2013 there has been nationwide protests and roadblocks because of inadequate public services and inefficiency in the political and institutional sectors. In Brazil, contracts are usually considered secure but the justice system is corrupt as it gets influenced by political and economic power. The average tariff rate in Brazil is 7.9 percent. The country is not permitted to import used clothing and cars. In many economic sectors, the foreign investment is limited by the government. However, there is a constant diversification and growth of the banking system and capital markets. There has also been a steady growth of government’s involvement in credit market with public banks accounting for 50 percent of total loans to the private sector (Brazil, 2014). This paper sets out to analyze the business struc tures and competitiveness of Brazil in the context of Michael Porter’s ‘Diamond’ Model of International Competitiveness. According to Vision 2050 which is WBCSD’s (world business council for sustainable development) project, the goal is that the world population will lead sustainable life within the resources of this planet (Vision 2050: Overview, n.d.). Based on the eagerness and abilities of the companies, Brazil strives to hold fourth position in world economy by 2050 while being able to provide good and sustainable living conditions to its population of 260 million (Vision 2050: A new agenda for business in Brazil, n.d.). Brazil’s economy is currently going through an extremely positive phase. However, its constant growth leading to social and economic developments is also having an adverse effect on the country’s environment. The rate of