Doing Business In South America

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Introduction
South America is the fourth largest continent in the world with twelve countries and three dependent territories. Countries including Venezuela, Brazil, Argentina, Peru, Chile, Colombia, Ecuador, Bolivia, Uruguay, Paraguay, Guyana, and Suriname. Dependent territories include Falkland Islands, French Guiana, and South Georgia and the South Sandwich Islands1. South America is tropical wet and dry regions which allows them to grow several types of fruits and vegetables. The two main cash crops grown in South America are cacao and coffee. Minerals such as gold, silver, tin, iron., ore, and petroleum are vastly found in South America. In this paper will talk about the current events of South America and how these events impact their …show more content…

In majority of the counties in South America the environment to conduct business is very hostile. According to Alexander Monge-Naranjo it is due to the economical position of the counties2. It takes longer to get permits and get access to electricity which makes it harder to do business in some countries in South America. In the chart above it stats how Chile, Colombia, Peru, and Mexico are they only counties where it is reasonably easy to do business. Doing business successfully in a county with the political and economic state of the country. For instance, it is the hardest to introduce a new business in Venezuela due to its corrupt politics and terrible economical state. Venezuela was one of the largest oil producing country with approximately 300 billion barrels3. After 2012 Venezuela’s GDP dropped due to the declining oil prices. It is predicted that Venezuela’s GDP per capita will be around $12,210 by 2022 which will be an enormous setback for its economy4. The potential for international businesses going to Venezuela are very low due to the current economic and political state of the

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