A look at the main highlights of the last year's global expansion
The current economic context in Brazil has made entrepreneurs take a fresh look at the possibility of global expansion. After all, having an operation abroad helps both abroad, in the brand recognition process, as well as here in the country, in the financial value of the business. The main motivations that lead a company to start its internationalization process range from the search for increased sales, such as diversifying risks and also protecting against constant changes in the Brazilian market. Getting ready is essential not to fall into traps and Sterna has been participating in this global movement for a year, helping Brazilian companies that want to start a new market abroad, and foreign companies seeking to start operations in Brazil, have the desired performance and keep growing continuously.
Brazilian companies show more competitiveness in challenging markets around the world
The internationalization corridor for the US and Canada is getting stronger every day. Ready to conquer the North American market, OPUS Software, a technology company with over 30 years of market experience in Brazil, opened its first international office in Toronto, Canada.
Seeking new air, fashion brand FARM expanded its investment abroad and opened a new showroom in SoHo, New York. This is the carioca (from Rio de Janeiro) brand's first step to gain a presence in the international market. Miami and Los Angeles are the next cities that Farm will mark territory in its global expansion process.
Who also gained space on North American soil was Nexo AI. The Brazilian artificial intelligence company opened a branch in the US after many multinationals were looking for its products including AI tools, the internet of things (IoT), machine learning, among other technologies. The company expects this new phase with the office in New York to increase around 40% of the projected growth.
But the expansion to other countries does not only happen in the world of fashion and technology. Granado Pharmácias wants to reinforce its name more and more with its products that have plant and herbal extracts and are not tested on animals. The brand, which already has a pop-up store in Lisbon and through e-commerce, sells to more than 30 European countries, in early 2019 opened its second concept store in Paris.
It's not just the United States and Europe that have gained the focus of Brazilians. The Indian market has also made the eyes of Brazilian brands shine. The Alpargatas group, which continues to grow abroad and is a reference when it comes to business internationalization, invested US$20 million to be able to expand the brand to India. Today, the brand is already present in over 30 countries and in the East, stands out with stores in Israel, Kuwait, and the United Arab Emirates.
Both Granado and Havaianas, from the Alpargatas Group, are proof that “Sou Brasileiro” sells on some occasions. You can read more about this subject in this article.
Investment by foreign funds in Brazil help market expansion
International investment funds have been increasingly interested in our country's businesses, especially in technology startups. China's Tencent company is one such company and believes in Nubank's power. In August of last year, the startup became the second Brazilian unicorn to receive an investment of US$180 million. Today, the company has passed a $1 billion valuation and is the largest Latino startup.
In September, Concil received R$15 million in a round by the investment fund Prosegur Tech Ventures, a company belonging to the European security group Prosegur. This was the impetus that was needed for the financial management startup to be able to focus on its internationalization and enter another country in Latin America. The billing projection for this year is R$20 million.
But, these weren't the only fintechs that made foreigners' eyes sparkle. In October, Stone debuted on the US Nasdaq stock exchange and raised US$1.22 billion and today has a market value of US$9 billion.
Landing on Brazilian soil
Brazil is not just a great source of startups that attracts the attention of investment funds and stands out more and more on the international stock exchange. Many foreign companies are focusing on landing their business in the country. An example is Exago, a software company from Portugal, which currently has an office in Pinhais, Paraná, to serve its Brazilian clients and also expand its activities in the country.
Technology is not the only segment that stands out among foreign investors. The education market has also attracted a lot of attention from big businessmen to Brazil. Proof of this is that Le Cordon Bleu, the most famous and traditional gastronomy school in the world, started its operations in São Paulo and Rio de Janeiro.
About Sterna
Sterna is the first Internationalization Boutique in Brazil. We can help you open your company abroad. Shall we have coffee? info@sterna.co
Our mission is to make Brazil more Global through internationalization! Mainly because Brazilian companies have great potential to gain this space in the international market.
What is missing for you to pack your bags and gain market abroad? What changes does your business need to receive the look of investment funds?
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