Contents
Introduction 3
About the company- PATCO 3
About the company Cascamon- Industrial Madeireira S.A. 3
Proposal for joint venture 4
Evaluation of Brazil 5
Challenges of doing business in Brazil 5
Opportunities of doing business in Brazil 7
Evaluation of the proposal 8
Conclusion 14
Description
In order to grow businesses globally and enjoy bigger markets, organizations take up different forms of business alliances. It helps companies to gain economic advantages. Therefore, international joint ventures are an attractive option specially to gain benefit from the difference in currency. Although international joint ventures have been seen as a beneficial tool for companies, partnering also comes with its own disadvantages and challenges like sharing of risk and fluctuations in the global economic frontier. Therefore, before undertaking, all international joint venture has to be analyzed and planned properly. The current report aims to understand the feasibility of the proposed joint venture between Port Arthur Timber Company (PATCO) and a Brazilian lumber company- Cascamon Industrial Madeireira and is directed to the President of PATCO.