sacrifices in order to purchase things they want, therefore satisfying their socioeconomic need for inclusion into the middle class or, at the minimum, projecting the appearance of not being excessively poor. The consumer consumption pattern has become well known with marketers in Brazil, like me, who use this type of purchasing pattern to increase brand loyalty by knowing that consumers cannot afford to purchase another product if they make the incorrect decision initially regarding the purchase of any item.” Hugo spreads his hands and leans back in his chair.
“Additionally,” he continues after a moment of letting Sean process this marketing strategy, “Brazil’s labor market and job creation have lagged behind the growth in its labor force. Unemployment rates are high, and evidence clearly supports the notion that racial inequality, prejudice, and discrimination are a social reality. In the past, Brazil enjoyed the image of racial equality, but that has recently been revealed to be incorrect. While the majority of Brazilians don’t even attain completion of high school or college, white men and women that complete at least twelve years of education are five times higher than Afro-Brazilian women. The average age for leaving school in Latin America is fourteen years old and seems to follow along socioeconomic lines. It has also been pointed out that the majority of Brazil’s impoverished population may be the result of geographic polarization between the significantly more rural northeast compared to the more industrialized southeast. Government authorities within Brazil have been highly criticized for their failure to invest in education. This failure and the country’s racial inequality become abundantly clear when one looks at the overcrowding in the schools of the industrialized southeast. It is apparent that, as an emerging marketplace, Brazil presents significant opportunities for business expansion as well as some real challenges.” Hugo takes another sip of his drink.
Sean nods and says, “Nevertheless, the abundance of research and academic inquiry clearly delineates a pattern of social injustice based upon prejudices and socioeconomic stratification, correct?”
“Ah, yes,” Hugo answers, “the majority of the individuals falling within Brazil’s low-income category appear to include women, many of whom are single parents due to Brazil’s high divorce rates, and the uneducated, many of whom are living in the agricultural northeast and racially are either Afro-Brazilian or members of Brazil’s indigenous tribes. Individuals living in the southeast seems to fare better socioeconomically due to the greater access to education facilities and higher-paying employment opportunities. Clearly, the ethnographic tendency in Brazil’s government is to either ignore or condone racial or social prejudice, based on geographical, economic, and employment stratifications.” Hugo polishes off his drink as Sean considers all he has presented. Sean realizes there are tremendous opportunities for the right American company looking to make a difference, not only in Brazil, but also in the company’s growth potential strategies.
“Very interesting,” Sean tells Hugo. “You have been very helpful and have given me a lot to consider. Anyway, as I said before, Mr. Stevens has hired me to devise not only the current strategy for our environmental issues, but also a recovery strategy for Diablo Mining in Brazil and also worldwide.”
Sean elaborates further by clarifying for Hugo that fees for his services will be handled entirely by Mr. Stevens. Hugo admits he is surprised and appreciates that Mr. Stevens is concerned enough about his ongoing relationship with Diablo Mining that he is willing to fix the problems they are about to create. Sean lays out for Hugo a two-pronged approach, starting in Brazil, which will be based upon the law-abiding practices of Diablo Mining.
“However,” Sean says, “since many