São Paulo – Slaughterhouse JBS-Friboi is Brazil’s most international company, followed by ironworks Gerdau and by Stefanini IT Solutions, according to an index that evaluates Brazilian company presence abroad, disclosed annually by Dom Cabral Foundation. The research also shows that, among the companies that have expanded through franchising, those with greatest space abroad are Via Uno, of shoes, Fábrica di Chocolate and Showcolate (both in the chocolate and confectionery sector).
The study has been taking place since 2006. The level of internationalisation of Brazilian companies has been growing constantly, approximately 1% a year, on average, over the last three years. According to the study, 60.9% of the organisations that already operate abroad aim to expand their operation in the markets in which they are operating and 27.7% say they will search for new markets.
Apart from JBS-Friboi, Gerdau and Stefanini, 44 companies are included in the index. The fourth highest internationalisation index goes to Metalfrio (cooling), followed by Marfrig (meat packing), Ibope (opinion polls), Odebrecht (construction), Sabó (auto parts), Magnesita (ironworks), Tigre (pipes and fittings), Suzano Papel e Celulose (pulp and paper), Vale (mining), Weg (electric engines), Brasil Foods (food), Ci&T (IT), Artecola (glues), Embraer (aviation), Camargo Corrêa (construction), Marcopolo (buses), Agrale (tractors), Andrade Gutierrez (construction), Natura (cosmetics), Cia. Providência (disposable products), Itaú-Unibanco (bank), América Latina Logística (transport), Petrobras (oil), Minerva (meat packing), Bematech (bank automation), Banco do Brasil (banking), BRQ IT Services (IT), Alusa (energy), Bradesco (banking), Ultrapar (petrochemical), Gol (airline), Randon (heavy vehicles), Eliane (ceramcis), Totvs (IT), TAM (airline), DHB (auto parts), Porto Seguro (insurance), Oi (telephony), Tegma (logistics), Seculus (holding), Cemig (energy), Portobello (ceramic tiles), Eletrobrás (energy) and M. Dias Branco (food).
Vale is the company with the greatest number of subsidiaries abroad: 38. Stefanini has 26 branches, Odebrecht, 25, Banco do Brasil, 24, and Marfrig and Weg, 21 units each. In the study, presence abroad considers the number of offices, factories, assembly lines, distribution centres, bank branches, research centres, warehouses and services provided. Exports and operation through local representatives are not included in the study.
Among the companies that have units outside Brazil, 77.8% operate in Latin America, 57.1% in North America, 46% in Europe, 44.4% in Asia, 27% in Africa and 11.1% in Oceania. Of the 88 countries in which multinationals are present, 10 are Arab: Algeria, Egypt, Saudi Arabia, Bahrain, the United Arab Emirates, Jordan, Kuwait, Lebanon, Oman and Qatar.
In 2011, the multinationals which participated in the research closed their operations in Aruba, Bahamas, Greece, Mali, Mauritania, Morocco, Equatorial Guinea, Tunisia and Cape Verde. However, operations started in Israel, Kuwait, Luxemburg, Nicaragua, Qatar and the Czech Republic.
Among the 16 franchises with international participation in the research, as well as the top three, are Linkwell (Internet), Localiza (car rental), Fisk Centro de Ensino (language schools), Spoleto (pasta), Bit Company (personnel training), Hering (garments), Arezzo (shoes), DepylAction (waxing), Wizard (language schools), Marisol (garments), Yogoberry (ice cream), Emagrecentro (aesthetics) and Giraffas (fast-food).
To calculate the company internationalisation index, Dom Cabral Foundation uses methodology adopted by the United Nations Conference on Trade and Development (Unctad). The formula compares company assets abroad with those in Brazil, revenues abroad with total revenues and the number of employees abroad in comparison with the total number of company employees.
In the case of franchises, the methodology was developed by the institution itself and the calculation includes the comparison between the number of franchise units abroad and in Brazil and the comparison between revenues with sales of products to franchisees abroad with those in Brazil.
*Translated by Mark Ament
