The U.S.–Brazil relationship opportunity: Business synergies for a dynamic global environment

• DOI: http://doi.org/10.1002/tie.21961
• Author: Raul Gouvea,Sam H. L. Fouad
• Date: 01 July 2018
• Published date: 01 July 2018

VIEW FROM PRACTICE

The U.S.–Brazil relationship opportunity: Business synergies

for a dynamic global environment

Sam H. L. Fouad

1

| Raul Gouvea

2

1

Escola Brasileira de Administraçao Publica e

de Empresas, Fundaçao Getulio Vargas, Brazil;

and Anderson School of Management,

University of New Mexico, Albuquerque,

New Mexico

2

Anderson School of Management, University

of New Mexico, Albuquerque, New Mexico

Correspondence

Raul Gouvea, 1924 Las Lomas, Anderson

School of Management, University of New

Mexico, Albuquerque NM 87131.

Email: rauldg@unm.edu

The U.S.–Brazil relationship features an intersection of public and private sectors characteristic

of the post-2000 dynamics of international business and governmental relations. As a triple

helix reference for the private sector, the public sector, and academia, this article explores how

further alignment of public and private interests of the United States and Brazil can improve

the bilateral relationship between the two largest countries in the Western hemisphere. The

first section recaps the U.S.–Brazil public relationship and cultural perspectives shared between

Brazil and the United States. The second section reviews the relevance of the U.S.–Brazil rela-

tionship in Brazil's economy and business marketplace. Sections 3 through 5 discuss specific

trade, investment, and tax agreements that can be mutually beneficial for the United States

and Brazil. The final section recommends further areas for public–private cooperation between

the United States and Brazil.

KEYWORDS

bilateral tax agreements, foreign direct investment, international trade, public–private

partnerships, U.S.–Brazil relations

1|INTRODUCTION

In the early 2000s, numerous celebrated books and articles touted a

new era of globalization for governments and multinational compa-

nies (MNCs) due to the rise of emerging markets, including Brazil,

Russia, India, China, and South Africa (BRICS). Additional coverage

was devoted to emerging-market MNCs (EM-MNCS), including the

“multi-Latinas.”Throughout this research, there is ample evidence of

the importance of the U.S.–Brazil public and private relationship

(Casanova, 2009; Estévez, 2015; Friedman, 1999; O'Neill, 2001; San-

tiso, 2013).

Post-2000 coverage of globalization also included general inter-

est books about Brazil and ongoing expert discussions of Brazil's pro-

gress and challenges in economic and social development. Various

experts also commented on the curious state of the U.S.–Brazil rela-

tionship, recounting how political differences have limited the public

relationship, while bilateral, cultural, and business relationships have

strengthened (Council on Foreign Relations, 2013; Mendes, 2015;

Montero, 2014; Reid, 2014; Rohter, 2012; Schneider, 2016; Sennes,

2015; Smith, 2010; Troyo, 2015, 2017).

The U.S.–Brazil relationship features an intersection of public

and private sectors characteristic of the post-2000 dynamics of

international business and governmental relations. As a triple helix

reference for the private sector, the public sector, and academia, this

article explores how further alignment of public and private interests

of the United States and Brazil can improve the bilateral relationship

between two of the largest countries in the Western hemisphere.

The first section recaps the U.S.–Brazil public relationship and shared

cultural perspectives between the two countries. The second

section reviews the relevance of the U.S.–Brazil relationship in Bra-

zil's economy and business marketplace. Sections 3 through 5 discuss

specific trade, investment, and tax agreements that can be mutually

beneficial for the United States and Brazil. The final

section recommends further areas for public–private cooperation

between the United States and Brazil.

2|GEOPOLITICAL AND CULTURAL

BACKGROUND: THE U.S.–BRAZIL

RELATIONSHIP

Since the end of World War II, Brazil has implemented an indepen-

dent foreign policy and has aspired to be recognized as a leading

global player, while at the same time receiving preferential or

DOI: 10.1002/tie.21961

Thunderbird Int. Bus. Rev. 2018;60:497–510. wileyonlinelibrary.com/journal/tie © 2018 Wiley Periodicals, Inc. 497