Key Aspects, Country and Company Examples

Companies are going global and Initiating change in their strategy, culture, structure, and technology. U. S. Companies are expanding their presence into different nations.

Different nations have deferent political, economic, and cultural institutions. Hill (2000) suggests that there are different strategies when a company pursues International competition. This case study will consider the pros and cons of these strategies and discuss various factors and tactics that affect a company entering a ewe market.

This case study will introduce a country risk analysis for Brazil describing six aspects: (1) history, (2) climate, (3) culture, (4) political risk. (5) economic and financial risk, and (6) legal risk. Next, the case study Illustrates Struck Coffee as a new player in the Brazilian market.

This case study will define four aspects of the SOOT analysis, discuss their importance, and show their impact on the organization. Next, four key aspects will be described: (1) human resources, (2) legal and ethical Issues, (3) supply chain, and (4) Information technology.

Finally, specific company examples will be offered to demonstrate how these aspects are practiced at Struck. Country Risk Analysis In order to fairly assess the risk factor of foreign direct investment, several factors are taken into consideration. One of the most crucial aspects of determining risk when entering a foreign market Is gallon a clear understanding of who we are. And what is our product is.

We have chosen Struck as our company and introduce the all around Struck product including atmosphere, customer service, taste, touch, aroma, and feel into the Brazilian marketplace. Collectively, we have considered

Brazil a moderate risk In our analysis. Historical Background According to Nations of the World (2003), Pedro Olivares Cabal, a Portuguese navigator, was the first European to reach Brazil In 1500. During the next centuries, the Portuguese brought large numbers of slaves to Brazil until slavery was outlawed In 1888. In 1822, Brazil proclaimed its independence from Portugal and was ruled by an emperor until 1889.

In 1889, the united States of Brazil became the legal name of the country. This remained the name of the country until 1967 when the country was renamed, the Federative Republic of Brazil.

The country’s capital was moved from Roll De Jeanine to Brasilia. Each of the successive governments pursued industrial and agricultural growth, in addition to, development of the Brazier’s interior. This continued exploitation of the country’s natural resources, as well as, a large labor force enabled Brazil to become the leading Industrial power of Latin America by 1970.

According to Nations of the World (20031 the current population of Brazil is 176,029,560 with 65. 9 percent of the population between the ages of fifteen and sixty- German, Italian, Spanish, and Polish), 38 percent are mixed black and white, and 6 percent black.

Predominantly Roman Catholic (70 percent), the people of Brazil generally speak Portuguese, the official language of the country. Spanish, English, and French are also languages predominantly spoken in Brazil. There are 53 Brazilian per square mile in South America’s largest country, which covers over 3,265,100 square miles. According to Nations of the World (2003), Brazil is the leading grower of coffee.

Struck decision to enter the Brazilian marketplace is based on this and other factors. The prevalence of coffee farming functions as a positive influence on the decision making process.

Other demographics of the Brazilian economy include a large producer of textiles, shoes, crude oil, cattle, and the single largest producer of the mineral iron (Nations of the World, 2003). Climate According to Edgar (2003), Brazil is more like a continent than a country. Brazier’s climate makes it rich in its natural resources. It is geographically larger than the United States.

It is the fifth largest nation in physical size and the largest country in Latin America. With ninety percent of its territory lying between the equator and the Tropic of Capricorn, Brazil is the world’s largest tropical country.

The Amazon region has the world’s largest river system. The Amazon is the source of twenty percent of the world’s fresh water.

Brazier’s climate varies from arid scrabbled in the interior to the impassable tropical rainforest’s of the northerly Amazon Jungle and the tropical eastern coastal beaches. The south is more temperate. Rainy seasons occur from January to April in the north, April to July in the northeast, and November to March in the ROI/SAA Paulo area. Brazier’s various climates have contributed greatly to its economic well being.

Its dynamic climate is the cornerstone for its generous crops.

Brazil is the world’s largest producer of bananas, coffee, and orange Juice. It has the world’s largest iron mine and vast stores of precious minerals (Edgar, 2003). According to Economy and Energy (2003), Brazil derives almost half of its energy from hydrophone and biomass. Over 90 percent of the country’s electricity comes from hydroelectric plants and about 15 percent of total energy from renewable. Deforestation in the Brazilian Amazon has increased 32 percent over the last decade to 18,000 sq. Kilometers per year.

Deforestation is caused by the developments of highways, settlement programs, government incentives for agriculture, financing of argue-scale projects such as hydro dams, and export-oriented companies. This has had a detrimental impact on the forest. It also results in the increase of emissions to the environment and accelerating greenhouse gases. Climate risk factor is low. Culture According to Executive Planet (2003), Portuguese is the dominant language in Brazil. Brazilian have a strong cultural identity.

Brazilian do not perceive themselves as Hispanics, and will take offense if addressed in Spanish.

In business culture, English is widely spoken. Women business travelers have few problems dealing with male colleagues in Brazil. Business negotiations require several trips to arrive at a satisfactory conclusion. Brazilian have the image that North Americans Jump directly to business building relationships of trust. Valuing people and relationships over business is essential.

Therefore, changing a negotiating team can Jeopardize an entire contract and is a major breach in Brazilian business protocol. Small talk should another offense leaving Brazilian with the impression that they think you have more important things to do.

Business cards and presentation materials should be readily available and printed in both Portuguese and English. In Brazil, personality, cultural awareness, and other interpersonal skills will win a Brazilian counterpart over charts, graphs, and other empirical data. Brazilian conduct business only through personal connections.

There must be an implicit understanding that the business relationship will be long term. According to Executive Planet (2003), decision-making is hierarchical in Brazilian business culture. Only the highest person in authority makes the final decision.

Social class and status are a major influence in Brazilian society and often determine the type of Job a person will have. The assumption that the powerful are entitled to special privileges is starting to be questioned. Official business hours are 8:AMA to 5:PM.

Business appointments are generally scheduled from 10:AMA to noon, the 3:PM to 5:PM allowing time for “memo-did” which is a two to three hour midday break. According to Executive Planet (2003), Brazilian are very personal and close in nature. Brazilian tend to stand very close to each other.

Greetings are made with long handshakes and noticeable eye contact. Women most often greet men and women with a touching of the cheeks or a kiss on tooth cheeks.

Frequently touching of the arms, hands, or shoulder occur during conversation. Machismo in Brazil is subtler than other Latin-American countries. It is more important for men to appear self-assured and in control at all times. Women are perceived as equals in business and society. Brazilian are one people, with a single culture.

Struck has proven a strong ability to adapt to the cultures in which business is conducted making the overall cultural risk factor low.

Political Risk According to Hill (2000), when evaluating the international business climate of a reticular country, it is critical to review the country’s political risk. Gathering political risk data means understanding the country’s political history as well as what the future may hold. Furthermore, it is important to determine the likelihood that the existing political structure may cause drastic changes to the business environment. Such changes could have a negative affect on the goals of a business enterprise. According to Brazil Country Fact Sheet (2003), Brazil is a federative republic with a presidential system.

The president executes policy approved by the 513-seat Chamber of Deputies and the 81 -seat Senate. Constitutional review is by an independent Judiciary. Although the president wields considerable power and can resort to temporary decrees to push through legislation, the provisions of the 1988 constitution give Congress ample capacity to frustrate the executive. The president is elected for a maximum of two terms of four years each. The Brazilian political system is notable for the fragmented nature of the political parties and the efforts that governments must make to build and maintain workable congressional partnerships.

This means that the existing political party will have to work any proposed changes in logic through the political “grinder” in order win approval on even the most basic of issues. According to the Latin American Monitor (2003), a new president, Luis Niacin “Lull” ad Silva was recently elected from the leftist Partied dos Tetrahedrons (OPT), which is the Workers’ Party. Investor attitude towards Brazil has noticeably improved since the new government took office in January 2003, despite the current economic and lower unemployment.

According to Appear (2002), the burden is on the newly appointed president to maintain a strict fiscal policy while managing the publics’ expectations. The most difficult political problem for Brazil at this time is managing expectation. Voters chose Lull because of his promise of more Jobs and increased income.

However, if he does not deliver on his promises quickly, the Congress and publics support may go elsewhere. While the overall political outlook looks good for Brazil, the president will be faced with the difficult task of moving quickly to bring noticeable economic growth to the country.

If Brazilian do not perceive that change is brought about quickly, this could have a negative impact on future business opportunities. The newly developing political stability in Brazil makes the political risk moderate. Economic & Financial Risk According to Nations of the World (2003), Brazier’s economy was one of the largest in the sass’s; inflation and devaluation of the real, Brazier’s currency, have taken their toll on the economy.

The International Monetary Fund approved a $30 billion loan in August of 2002 to help boost the economy and decrease the $260 billion debt when the country was close to meltdown.

According to the Economist (2003), Luis Niacin “Lull” ad Silva, the current president of Brazil, has since been trying to settle the neutron finances. A spending squeeze and two rises in interest rates have functioned as attempts to level out the deficit and help control inflation. Additionally, attempts to increase the nation’s trade surplus are measures that will contribute to improving the economy. According to the Economist (2003), since January of 2002, Brazier’s trade surplus has quadrupled to $14.

1 billion.

The success of these measures could in fact be Brazier’s steppingstones on the road to first-world benefits of prosperity and social Justice. For Struck, the absence of inflation plays as a major determining factor to entering this market. For Struck, the ability to source and developing a process to roast coffee in Brazil can essentially have a positive economic impact on the Brazilian economy. According to the Economist (2003), in the early sass’s, one in four Brazilian continued to survive on less than $1 per day despite Brazier’s economy being one of the largest in the world.

Currently 3.

60 real, the currency of Brazil, are equal to one U. S. Dollar. One year ago the exchange was 2. 43 real to the dollar.

According to the Economist (2003), the war with Iraq has been a factor in the recent slip in the value of Brazier’s currency. Any sharp devaluation of the al will raise the debt burden of Brazil, regardless of a heightened primary surplus. Thus, the exchange rate for both Struck and Brazil becomes a critical factor in the successful fortitude of this global business venture.

The overall economic and financial risk factor of Brazil is definitely moderate at this time. As noted above, there is great opportunity for both financial success and economic hardship for the country and Struck. Legal Risk When legal risks in a country are high, an international business might hesitate entering into a long-term contract or Joint-venture agreement with firms in that country.

This is due to the likelihood that a trading partner will opportunistically break a contract or expropriate property rights. This is not the case with Brazilian Corporate Law.

According to Brazilian Corporate Law (2003), Brazilian law provides for several different forms of business venture organization. Most foreign investors Limited (SIR) or a Associated Ammonia, Lei dads Associated poor Access (ALAS). The quota holders of SIR have ample flexibility to draft provisions into the corporate charter that would elaborate on or modify the otherwise simple structure of an SIR.

Indeed quota holders can make the company more like a partnership or a reparation, or something in between. Therefore the charter document of an SIR permits minority quota holders to obtain extensive protection on a negotiated basis.

According to Brazilian Corporate Law (2003), the basic statute regulating Associated Ammonias is the Brazilian Law of Corporations, ALAS, which significantly extended the protection afforded to minority shareholders of both closed and public corporations. Under ALAS, public corporations are those with securities authorized to be publicly traded through the Stock Exchange Commission, or in other alternative exchanges arrests, such as Mercado De Balzac. The development of these reforms was part of reconstruction of turmoil and misguided plans with foreign investors.

The deposition and determination of the Brazilian government to put aside political interest in favor of sound economic measures is now paying off.

Brazilian government has not only accomplished bringing inflation down to record lows, it has put Brazil back on the map of foreign investors, who have been flooding the country with tons of cash. The question that has been asked by this new reform is, “Is Brazil selling its soul to reign capitalists? According to Alvin (2002), Price Waterholes was the buyer in 70% of the acquisition deals that took place in the country during the first quarter of this year.

Numerous multinational companies already doing business in Brazil can attest to the market’s potential. Some examples of successful performances by foreign investors are, American Phillip Morris, French Rhoda, Korean Samsung, English Glaze Welcome, Swedish Electrolyte and the list goes on and on.

The financial sector has also seen an increasing participation of foreign banks, English Lloyd, Spanish Suntanned, German Dressier and Hong Kong Shanghai Bank Corporation. Many other institutions await Banc Centrals authorization to begin operations in the country (Alvin, 2002).

According to Alvin (2002), in spite of the risks, analysts believe that the Brazilian economy is on firmer ground now than in the past. As long as the government keeps its consistency and commitment to the economic reforms, Brazil will remain a top choice for foreign investors. Recent research released by Site Selection, the official publication of the International Development Research Council, wows that Brazil is the fifth investment destination recommended by 24 percent of the world’s 100 largest corporate advisors.

It shadows only to the United States and China, tied in first place, and chosen by 47% of the consultants; Mexico, with 30% and the United Kingdom, with 27%.

The Brazilian market is preferred over Malaysia, Thailand, Japan, Canada and Germany (Alvin, 2002). From a legal perspective, the risk is low. SOOT Analysis According to Mind Tools (2003), a SOOT analysis is a very effective way of identifying a company’s strengths and weaknesses, and of examining the opportunities and threats faced.

Carrying out an analysis using the SOOT framework helps a company focus specific business activities where there is strength and where the greatest opportunities lie. SOOT consists of five basic areas: (1) strengths, (2) weaknesses, (3) opportunities, (4) threats, and (5) trends. We will discuss the first four key aspects and entering a new market, Brazil.

Strengths Struck is an organization that is able to bring several strengths to the Brazilian marketplace. Struck mostly purchases premium green coffee, certified as Fair Trade Coffee.

The Fair Trade Coffee Agreement ensures local farmers receive a remunerated price for their harvest above the prevailing market price, thus helping to improve their economic stability. Commitment to Origins is Struck strong commitment to coffee producers, their families, communities, and the natural environment to help promote a sustainable social, ecological, and economic model for the production and trade of coffee (Struck, 2003). This precedence setting commitment sends a strong message to the world economy that Struck is committed to preserving the best interest of farmers, the economy, and the environment.

According to Struck (2003), with nearly 900 coffeehouses in 22 arrests outside North America, it is clear that Struck passion transcends language and culture. Expertise and experience in entering new markets is another strength that Struck brings to the table. Struck further magnifies this ongoing business practice by its dedication in supporting communities around the world where Struck lives and works, as well as in the origin countries where Struck coffees are produced. Weaknesses As with any new idea, one must consider both the obvious and the subtle areas of marketing vulnerability.

One of the most obvious weaknesses for Struck market in Brazil would be that they do not exist.

It is the South and Central American countries that provide Struck with coffee beans along with all the other specialty coffee companies in the United States. It is understandable that these countries are probably not the most likely for coffee companies, of other countries, to invest in their markets. The fact that there is no research from the Specialty Coffee Association of America, or other coffee companies doing business in Brazil can make it very expensive for Struck.

A tactic to overcome this is to develop roasting and striation processes in Brazil to avoid importing and exporting associated costs, thereby reducing costs while continuing the product offering of neighboring countries. Another weakness for Struck is dealing with a country that is very traditional. Researching a countries culture is one of the most important factors before “starting up shop.

” What is the success rate of any other American beverage product in that country?

Like many other South American countries, new products are foreign as well as expensive and Brazilian may not find themselves susceptible to change, or opt to purchase specialty coffees. Extensive and appropriate research that determines the appropriate Brazilian niche can combat this weakness. Opportunities It is clear that Struck has been successful in appealing to all five senses of its customers – through the enticing aroma of the beans, the rich taste of the coffee, the product displays and attractive artwork adorning the walls, the contemporary music playing in the background, and even the cozy, clean feel of the tables and chairs.

Though the startling success is evident, every company has weaknesses when entering a new market. According to its Annual Report (2002), Struck expanded its international presence by opening 294 new international licensed stores, including the first stores in Austria, Oman, Spain, Germany, Indonesia, Mexico, Puerco Rich and Struck has identified and created opportunities around the world. Doing business in Brazil requires time and building relationships of trust.

Since Brazil manufactures one-third of the world’s coffee beans, the supply chain can be shortened.

Instead of shipping beans from Brazil and other South and Latin American countries to the United States, Struck should build its own roasting plant and distribution facility in Brazil. Despite it’s popularity, coffee is not the most popular beverage of the people. It is Guarani, a beverage produced from dried berries, water, and sugar. Brazilian have historically consumed their coffee, strong, thick, and simple. It will be an opportunity to introduce the various and sweeter tastes of Struck various coffee drinks to the Brazilian market.

Coffee in Brazil has long been inexpensive and readily available at the price of pennies. Brazilian drink coffee at home, in restaurants, cafes, even in tiny villages. Thousands of coffee vendors line the streets of ROI De Jeanine, SAA Paolo, and other large cities. For example, Struck challenge is to convince an entire market that paying 3 to 4 dollars per cup is normal. Struck must change the Brazilian consumer’s perceptions of value. Building brand loyalty and adjusting the pricing structure to align with the culture, especially during the initial product offering, can achieve impact the perception of value.

Regardless of the business, brand loyalty is the fundamental building block to ensure an organization’s long-term success. According to Struck Chairman Howard Schultz (2002), Struck understands the significance of building brand loyalty. It egging with a commitment to the business philosophy that your customers are precious. Customers are at the heart of the business and winning their loyalty is your first objective. The customers have many choices for beverages and will dictate what they want, why they need it, and how they want to do business with Struck.

Success can only be gained by listening. Customer loyalty will depend on Struck ability to understand and cater to the needs of the Brazilian people. Brand loyalty will ultimately drive long-term, profitable customer relationships. Threats All organizations face threats in the marketplace. Threats and change are two things that can be ultimately relied upon. Some of the most prevalent threats are discussed in more detail below such as finding the right people, overcoming differing legal, cultural, and ethical issues, developing a local production, roasting, and distribution operation.

In addition to these threats, there are the aspects of pricing, product offering, and competition. Struck must identify a pricing structure that is profitable, differentiates Struck from any other cup of coffee, and is still economical in the Brazilian marketplace. Finding the right unique product offering hat is Just similar enough to Guarani, the Brazilian drink of choice, is another task at hand to ward off potential threats. One of the last threats to anticipate is competition. Once the Struck craze catches on, there is always the potential threat of copycats. Copycats coffee houses are no stranger to Struck history.

Nonetheless, Struck almost always prevails. Human Resources In the case of Struck, a potential challenge is sourcing, hiring, and training employees to model the Struck genre. There needs to be a synergy of Struck mission and values with Brazilian work ethics, employment laws, culture, and language. It is recommended that key members of Struck International operations Training Facility, employee handbooks, and ensure compliance with business and employment laws. According to Country Watch (2003), Brazil is ranked number 69 of 174 in on the Human Development Index far ahead of the United States, ranking 117.

A notable measure of human development is the Human Development Index (HID), which is formulated by the United Nations Development Program.

The HID is a composite of several indicators, which measure a country’s achievements in three main arenas of human development: longevity, knowledge and education, as well as economic standard of living. This measurement demonstrates the opportunity for sourcing and staffing a native workforce that is appropriate to the Struck culture, yet experts of the Brazilian culture. The true test is to see where the two can mix to create a workforce that can benefit both.

Overall, the long-term success of the organization is contingent on Struck commitment of acknowledging people as its greatest asset. Struck goal is to meet and exceed the needs of its Brazilian customers, its Brazilian employees by providing them the overall Struck experience. Legal and Ethical Issues Legal and ethical issues are sure to arise that differ from the standards in the United States.

Finding ways to conduct business in alignment with these differences will be crucial to Struck ongoing success in Brazil.

Some of the legal and ethical issues to consider when conducting business in Brazil are the presence of bribes and government subsidies. In the Brazilian marketplace, it is a common practice to issue and accept bribes in order to continue conducting business. These types of transactions are considered unethical in the United States and in the Struck reporter culture. As a result, Struck may need to pay higher taxes or expediting fees in order to get the products on time and avoid unethical business practices of bribery until roasting, production, and distribution processes are developed in Brazil.

A current Struck business practice is to protect the workers within the coffee industry by setting and adhering to Fair Trade agreements with the organizations and countries in the global coffee marketplace.

Subsidies are another trade barrier the Brazilian government could impose which would protect the Brazilian coffee industry and ensure that Struck is paying a fixed price in order to acquire, roast, produce, and distribute Brazilian coffee products.

Supply Chain According to Struck (2003), the company is committed to sourcing the highest quality coffees from around the world. It searches mountain trails in Indonesia, Kenya, Guatemala, and all over the world for the highest quality Arabica beans. Struck requires zero defects in grade, good even color, and consistent bean size. Struck has limited their sourcing by applying strict, more environmentally beneficial guidelines to their suppliers. Struck has a specific purchasing philosophy.

In order to become a Struck preferred supplier, these qualifications must be met: (1) verifiable quality of product, (2) minimal environmental impacts, including soil management, water reduction, clean water, forest conservation, use of shade and energy use, and waste management, (3 )social conditions, including wages, benefits, health and safety, and living conditions, (4) economical issues, including that all these criteria are crucial to creating a sustainable coffee production system and improves the coffee market.

According to Struck (2003), the company articulates and encourages the Fair Trade Certified label. Struck purchases 59 percent of their coffee directly from farmers and small-scale coffee farming cooperatives while paying higher than prevailing market prices. Its participating farmers democratically run these cooperatives. Struck pays an average of $1.

20 per pound for green coffee purchased through long-term contracts. For Brazil, Struck should provide incentives to local farmers and cooperatives to grow premium coffee that meets their standards.

It has successfully convinced many farmers to do this. According to Hill (2000), Struck in 1992 set a new precedent in he coffee-purchasing world by outbidding European buyers for the exclusive Marino Supreme bean crop. In Brazil, Struck intends to establish a production operation to roast the coffee beans and package the products.

Struck will seek local suppliers for paper goods and other necessary raw materials. A distribution warehouse will be established to track the supply chain process and distribute its retail locations and new local Joint ventures with hotel, airports, and grocery stores.

Information Technology Advanced technology is essential to the success of collaborative relationships. Struck uses the same point-of-sale system in the stores, the manufacturing system, and distribution system. Coffee beans are tracked all the way through the roasting process using a silo management system and production control. The distribution system tracks the roasted beans.

And it also tracks receipt in the stores. The point-of-sale system feeds back into the corporate office where a replenishment order is generated. It is a full circle process.

According to Struck (2003), some examples of in-house Information Technology (IT) training are Unix-based systems and software, life cycle methodology, database query tools, and AS/400. Struck goal is to have an enduring and innovative, state of the art integrated supply chain system that would reduce costs by an undisclosed amount, improve customer service, and maintain consistent quality. According to Highlight Software (2002), Struck began using Highlight Software’s Internet-based Supply Chain Execution Software solution to automate its product distribution network.

This software provides warehouse management and data collection solutions that can be easily and precisely tuned to fit Struck operational needs in its three primary U. S. -based distribution center. We will connect the new Brazil warehouse and distribution center with the same technology to streamline business-to-business transaction in real time. Struck will be in constant communication with Brazilian employees. The latest technologies using the Internet, E-Mail, and Business-to-Business and Business-to-consumer software will also be implemented.

According to Hewlett- Packard (2002), Struck and Compact Computer Corporation have a five-year strategic relationship in which Compact provides the information technology structure and hardware for Struck retail stores and corporate headquarters. Struck and Microsoft have created a wireless, high-speed connected internet environment in more than a thousand U. S. Locations. This wireless internet service will be made available in all the Brazilian retail locations as well.

Overall Risk Factor green coffee.

Struck creating a presence in the Brazilian market place is ideal. From a political aspect, the country has renewed leadership strength. Economically, foreign investment is increased. The new president’s goals are to keep inflation down and decrease the national deficit. Export is good.

The Brazilian Real is low compared o the U. S. Dollar. This is advantageous for Struck to fund business growth in Brazil. However, the devaluation of the Real also means that Brazilian will have a difficult time paying premium prices for Struck products.

Sourcing beans and raw materials in Brazil will be financially opportune for Struck. From an economical and environmental perspective, Struck can help Brazilian coffee growers zero in on better premium beans in a ecologically improved environment. From a financial perspective, Struck coffee shops are sprouting on every street corner in our part f the world, it is inevitable that it will do the same around the world and especially, in Brazil. These benefits financially outweigh the risks.

Summary and Conclusion As this case study has shown, the country risk analysis key aspects were described for Brazil: (1) history, (2) climate, (3) culture, (4) political risk, (5) economic and financial risk, and (6) legal risk.

Next, we introduced Struck Coffee as a potential new product in the Brazilian market. Struck served as an example for a SOOT analysis. Four key aspects of a SOOT analysis were described: (1) strengths, (2) weaknesses, (3) opportunities, and (4) threats.

Finally, Struck illustrated the importance of understanding these aspects: (1) human resources, (2) legal and ethical issues, (3) supply chain, and (4) information technology. In conclusion, it is our view that introducing Struck coffee into a new market, Brazil, would be a difficult challenge. However, it will be a profitable venture.

It is our recommendation that Struck enter the Brazilian market creating a local roasting and manufacturing plant, a distribution warehouse for all its South American suppliers and distributors, and to open the initial Struck retail locations in SAA Paolo, ROI De Jeanine, and Brasilia.