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Economic indicators

Imports 72.2% of entrepreneurs do not want to raise prices

08/24/2010

This article was translated by an automatic translation system, and was therefore not reviewed by people.


 


Research shows Bradesco's fear of losing business in market share for products from outside. The consumer appreciates

Gabriel Caprioli

Search Brad consecutive records of imports facilitated by the strong real and the increasing income and employment, have left the business on the defensive and made a feast of consumers. Fearful of losing market share to foreign products, Brazilian manufacturers are being forced to hold the prices of their goods, a move that will help the Central Bank to keep inflation under control. This is shown by research carried out by Bradesco in 2,300 companies. Of these, 72.2% report that they are keeping their tables unchanged in August. In February, 62.1% projected increases. 
   
Brazilians are buying everything, benefited from increased income and employment and the real strong.
With inflation under control, Central Bank should hold the Selic  
 
This portrait is the most beneficial effect of competition. Brazilian consumers are seeing that you can take home better quality products at more affordable prices. Entrepreneurs in the country not to surrender to this reality not only see the stocks rise as profits plummet. "This time, everything is conspiring in favor of consumers. Because there are a superestoque of goods in the world because of economic recession in developed countries, there is a strong targeting of goods to countries like Brazil, which are advancing at a rapid pace, "says the chief economist at National Trade Confederation (CNC
), Carlos Thadeu de  Freitas Gomes .

But not only. With the weakened dollar, imported ones have arrived in the country at prices much lower than two years ago. Cars previously considered outside the realm are going straight to the garages of many lucky. Televisions and computers from the latest generation also rejoice fascinated by technology. That is, even with activity showing a strong pace, the national entrepreneurs are failing to expand beyond measure profit margins.
Because they are taking up a chunk of the current time by importing raw materials cheaper.

In evaluating the director of Research and Economic Studies of Bradesco, Octavio de Barros, competition from major international producers such as China, the United States and the EU further increase the pressure on imported Brazilian industrialists, moderating price increases . For the year, foreign purchases of the country increased by 45% until last week, according to the Ministry of Development, Industry and Foreign Trade.
In the same period, exports showed an increase of 28.1%.

Bernardo Wjuniski, economist at consultancy Trends, goes further. "What happens today is very simple measure: despite the positive cycle, the entrepreneurs need to keep prices low to be competitive. It is quite a different picture of the pre-crisis (2008), when the economy was global warming.
Consumption was heated on the planet, "he says.

Stable Interest
If entrepreneurs have to make a redoubled effort to maintain profits, surely the life of BC easier, because the excesses were corrected by the competition. No wonder an increasing share of analysts now raises the possibility that the Monetary Policy Committee (Copom) to leave unchanged the basic interest rate (Selic) at its meeting next week. This commitment is reinforced by the latest inflation indicators.
According to the Fundação Getulio Vargas (FGV) for the ninth consecutive week, the Consumer Price Index - Weekly (IPC-S) recorded deflation, now 0.17%.




Source: Correio Braziliense

This article was translated by an automatic translation system, and was therefore not reviewed by people.

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