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Analysis of South American market

Posted by: Jenny | 2016-08-24 11:01:49

1. Language in South America

Similar with the Chinese situation, people in South America who speak English are mainly the higher level youth under 35 years old. The South American people are very casual. When chatting by the chat tool, there will be a lot of misspelled words and wrong grammar. But chatting with them by typing is better than talking in the phone because affected by mother language, the South American people’s spoken English is like Latin.

Although most of us do not understand Spanish and Portuguese, it is necessary to send mail to our customers with these two languages, especially the development letter because the probability of getting the reply is much larger than in English.

2.Character of South American people 

We can always thing about the samba of Brazil, the Tango of Argentine, and the crazy football trend. Untrammelled can better describe the South American people. Many of South American people do things slowly and they often miss the appointment.So if you want to do business with South Americans, you need to be patient.  Do not think that you will not get the order if they don't reply you for a few days because probably they are on holidays. Negotiations with the South American people will be a long time and you need to quote the price carefully so that you have enough space for bargaining. The negotiation process will be long and difficult because the South American people are good at bargaining and we need to be patient.

3. Brazil and Chile (China's two largest trading partner in South America.)

As the largest country in South America, Brazil has the biggest demand for products. But the big demand does not mean the large imports. Brazil has the strong industrial base, sound industrial structure which means that the products made in China can also be made in Brazil. So the complementary industries in China and Brazil is not so big. But in recent years, we should focus on the development of Brazil because it is the holding place of the 2014 World Cup and the 2016 Olympics Games. There will be a great demand of hotel supplies, security products and textile products in Brazil in a short time.

In addition to Brazil, Chile is another friendly partner in South America of China. Although the land area is small, the narrow coastline has created a relatively scarce resource but extremely well-developed trade port Chile. Chile's import companies are mainly small businesses and even home-based businesses.

4. Risk rating of the South American market 

Shown as below, the level of risk is progressively increase from mazarine to dark gray. From the figure we can clearly see that Chile and Brazil run the lower risk while Argentina, Venezuela and other countries run the higher risk of trade.

5. Business etiquette in South American market

Brazilian rituals and customs taboos

Seen from the national character, there are two main features of Brazilian. On one hand, Brazilians is straightforward. Brazilians in social situations usually meet with a hug or a kiss as the courtesy. Only in the formal event, they shake hands with each other. Brazilians usually eat continental cuisine. Because of the fast development of animal husbandry, meat takes the larger proportion among Brazilians’food. In the Brazilian staple, the Brazilian black soya bean take an important place. Brazilians like to drink coffee, tea and wine.

Suitable topic: football, jokes, interesting things, and so on.

Special Note: When dealing with the Brazilians, do not present handkerchief or a knife as a gift. The "OK" gesture adopted by British and American people is obscene in Brazil.

Customs etiquette of Chile 

Chileans take four meal each day. They drink coffee and toast for breakfast  with simple principle. Around 13 o'clock, it is time for lunch which focus on high quality and quantity. At 16:00, they drink coffee and eat a few slices of toast and at 21:00, they have formal supper.

In business aspect, it is suitable to wear in conservative style, and making an appointment first is required for public and private visit. It will be better to use the name card in both English, Spanish and Chinese. Or you can print the Chinese and Spanish name card in the local place and pick up within two days. Text relating to the sales business will be better in Spanish with modest tone. In fact, Chile's style is similar to Europe. Therefore, it will be fine to follow the way as you use in Europe.

Chileans think highly of greeting etiquette. When first meet with foreign guests, they mostly shake hands while meet with familiar friends, they even give warm hug and kiss. Some older people used to salute or use the hat ceremony. Chileans taboos are nearly same as the western countries. Chileans still believe that the number " five" is not auspicious.

Etiquette and customs taboos in Argentina.

Most of the Argentine believe in Catholic, so some religious rituals are often seen in Argentine's daily life. In the communication, they generally shake hands. When meet with the dating person, they think that the more the handshake, the better they are. In the social occasion, you can call Argentines "sir" "Miss" or "Mrs.".

Argentines generally like to eat European food which is mainly beef, mutton and pork. People like to drink black tea, coffee and wine. The most special drink in Argentine is the one called "Mate Cocido".

In Argentina, soccer and other sports, cooking skills, home furnishings etc.are the appropriate topic. When visiting the Argentines, you can give some small gifts but it is inappropriate to send chrysanthemums, handkerchiefs, ties or shirts to others.

Colombia etiquette

Colombians love flowers and people in the capital city Bogota are crazy about flowers. Flowers has decorated this so-called “Athens of South America” city like a large garden. Colombians behavor serenely, no rash. If you ask local people to prepare a meal, it will often takes at least an hour. 

The best time to engage in business activities in Colombia is from March to November every year. Business name card in Chinese and Spanish is available. The product instruction manual should be printed with Spanish for reference. Colombian businessmen work in a slow pace, but with strong self-esteem. So you should be patient in business activities. The best time for sending a gift is the relaxing social occasion after the end of business negotiation.

The vast majority of Colombians believe in Catholic, and a few people believe in Christianity. The local people don’t like 13 and Friday, and neither the purple color.

Tags: South American, Market, Business, Custom, Import

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