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GLOBAL WINDOW DISPLAYS Brazilian franchises globally and in countries with cultural affinity

BRANDS

GLOBAL PRESENCE

COUNTRIES THAT SPEAK SPANISH OR portuguEsE*

(nº OF COUNTRIES)

Via Uno (footwear and accessories)

1

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U$470, almost twice as much as a decade ago. Given this scenario, it is easy to understand why Brazilian compa-

the point. The brand arrived in Colombia in 2011 and Peru in 2013. In Colombia, it signed a contract with a local master franchise — which runs several international franchises — to open 40 points of sale in the next 5 years. “Now, the Colombian economy is strong and solid”, says Cairo Maia, creator of Chilli Beans. “There was a revolution in Colombia in the last decade.” He is referring to the country’s transformation due to the efforts to attract investments, via fiscal reforms, reduced state intervention and bilateral trade agreements with the US and the EU, and the mood of greater security following the nu-

merous setbacks suffered by the Farcs. Maia also plans to send Chilli Beans to Ecuador and Chile. “Our project for the next 4 years is to have 80-100 points of sale in South America”, he says. For the strategy to work, Chilli Beans focuses on a key point for those looking to grow by courting the middle classes of emerging markets, but

Chilli Beans wants to open 100 points of sale in the region in 4 years nies are crossing the Andes to offer products such as footwear, apparel, watches and sunglasses, as well as a broad range of services to masses of new consumers in neighboring countries. Chilli Beans, one of the franchises with the most ambitious plans in the region, again illustrates

Pictures: HANDOUT Hope

for the Latin American and Caribbean economy). By comparison, the Brazilian economy, after a growth period, has been growing at much lower rates – only 2.3% in 2013. The numbers attesting better income distribution and growth in consumption markets in the region are impressive. A recent World Bank study identifies a 50% rise in the size of the Latin American and Caribbean middle class: from just over 100mn in 2003 to over 150mn in 2009. This means around 50mn people — more than the population of Spain — left the poverty line. Two nations, Chile and Argentina, have a very high HDI (human development index), and Uruguay and Peru (like Brazil) have a high IDH — the minimum wage in Chile is now

2

1 Giselle:

popular with Latin American women...

2 ...in

partnership with Hope

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Argentina, Chile, Colombia, Costa Rica, Cuba, Spain, Paraguay, Peru, Portugal, Dominican Republic, Venezuela

Carmen Steffens (footwear 18 and accessories)

Angola, Argentina, Bolivia, Spain, Paraguay, Portugal, Uruguay, Chile, Peru, Ecuador, Colombia, Panama, USA

Totvs (communication and technology)

17

Argentina, Mexico, Chile, Paraguay, Porto Rico, Portugal, Uruguay, Bolivia, Peru, Colombia, Ecuador, Venezuela, Guatemala, Costa Rica, Angola, Mozambique

Showcolate (food)

12

Chile, Mexico, Peru, Panama, Guatemala, Portugal, Venezuela

CCAA (language school)

11

Argentina, Chile, El Salvador, Spain, Portugal, Mexico

Dumond (footwear)

10

Angola, Costa Rica and Paraguay

Fabrica di Chocolate (food)

9

Costa Rica, Spain, Mexico, Portugal, Dominican Republic, Venezuela

Wizard (language school)

8

Colombia, Guatemala, Paraguay

Localiza Rent a Car (vehicle 8 rental)

Argentina, Bolivia, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay

Colcci (apparel)

8

Guatemala, Portugal, Spain,

O Boticário (cosmetics and perfumes)

6

Angola, Paraguay, Portugal, Venezuela

Fisk (language school)

6

Argentina, Angola, Bolivia, Paraguay, Chile

Maz Brasil (footwear and accessories)

5

Spain, Portugal

Truss Cosméticos (perfumes and cosmetics)

5

Angola, Ecuador, Venezuela

Chilli Beans (sunglasses and accessories)

5

US, Portugal, Colombia, Peru

Cia. Hering (apparel)

4

Uruguay, Bolivia, Paraguay, Venezuela

Hope

4

Portugal, Bolivia and Argentina

Arezzo (footwear and accessories)

4

Bolivia, Paraguay, Portugal, Venezuela

Livrarias Nobel (books)

3

Portugal, Spain, Colombia

Spoleto (food)

3

Mexico, Spain, Costa Rica

Vivenda do Camarão (food) 2

Paraguay, US

Source: ABF/ESPM Study – 2012 – Market and Strategic Aspects of the Internationalization of Brazilian Franchises, with supplementary information from companies. *Including the US

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PIB Edition 25 March/April 2014