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Deterioration Of Investor Sentiment And The Football World Cup And Olympics

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10 deterioration of investor sentiment with regard to emerging markets further exacerbated the crisis, (Raiser, M. 2016).
Brazil has been experiencing some economic growth, and the football World Cup and Olympics are likely to mark the country on the map as a prominent global investment destination. Recent estimates have suggested that hosting the World Cup and the Olympics in Brazil could be worth $3.5 billion and $5 billion to the economy respectively. Consumer confidence is also at an all-time high in the country, with 40 million Brazilians escaping poverty over the last ten years, boosting the middle class bracket in the country. What’s more, strong manufacturing growth, a young population and an abundance of resources has got international investors rather excited about the country’s prospects.
Another reason to be excited about the Brazilian economy is that - after several quarters of disappointing growth levels - there is an air of optimism about future growth levels. If the economy picks up soon, many global investors will see it as a catalyst to move in their operations and thus boost foreign direct investment (FDI). But doing business in Brazil is notoriously complicated, and there are several things organizations should consider before making the leap.
Taxes in Brazil
Brazil’s average tariff rate is 7.8 percent. Brazilians may not import used consumer goods like cars and clothing. Government procurement policies favor domestic companies. Foreign investment in

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