Jeitinho Brasileiro: Adopting Nonmarket Strategies in Brazil

This chapter on nonmarket strategy in Brazil provides both a context for the market dynamics in Brazil as well as provides case examples of the institutional voids that require the most navigation. We expose the expropriation risks present in this complex corporate, legal, social, and political environment (Mussachio 2008; Perkins, Morck and Yeung 2013; Perkins and Zajac 2012; Schneider 2008) and show how foreign firms could benefit by developing a jeitinho Brasileiro , a Portuguese term we coin and use throughout this chapter which means learning the Brazilian way of doing things. Still, with the implementation of nonmarket strategies, a foreign investor has the opportunity to successfully navigate the tendentious institutional environment for which Brazil has become infamous.