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Comparing Environmental Policies in Brazil and the U.S.

  Cross-border transactions from Brazilian e-commerce companies To overcome the issues outlined above, merchants must devote time and effort to ensuring that all cross-border obstacles are addressed. Merchants should ensure that their payment gateways can handle foreign transactions and examine the refund process.  Logistics-wise, merchants can employ a cross-docking strategy by selecting brokers to reduce the bureaucracy and logistics of export procedures, as well as exchange and return operations. Forming commercial agreements with important markets might help facilitate clearance.  At the same time, it will strive to assess the challenges faced by businesses existing in Brazil or expanding into global markets. These problems include suffocating bureaucratic procedures, high taxes and complex tax systems, poor distribution infrastructure, a scarcity of talent, political instability, and an unpredictable economic climate. Supplemented with case studies from Netshoes Group and B2W Digi

Can U.S. Citizens Start a Business in Brazil? A Detailed Guide


 Latin American countries use other payment systems. 

Many Latin American consumers, like those in other emerging e-commerce markets, do not have a credit card or bank account. To reach these customers, online merchants have adopted other payment options. In Mexico and Argentina, some internet firms offer cash on delivery (COD); in Brazil, the boleto bancário (a printable, bar-coded invoice that can be paid online or offline) fulfills a similar function. In Mexico, many convenience stores accept payments. Furthermore, consumers in each market, notably in Brazil, are accustomed to paying in installments for their purchases. Retailers such as Frávega in Argentina, Submarino in Brazil, and Liverpool in Mexico offer a variety of payment alternatives to attract customers. For example, Submarino allows customers to pay for their purchases in 15 interest-free payments, whereas Liverpool offers purchasers up to a 30% discount and up to nine months without charge.

Mercado Livre also accepts a range of payment methods in Mexico, Brazil, and Argentina. Customers in Mexico can pay with credit (up to 18 payments), debit, cash, bank deposit, bank transfer, or a prepaid MercadoPago account. Customers in Brazil can pay with credit (including 12, 15, or 24 monthly payments), boleto bancario (offline bank deposit), or their prepaid MercadoPago accounts. Customers in Argentina can pay using credit (up to 12 installments), offline cash payments at certain locations, or prepaid MercadoPago accounts. Trusted brands are a major driving force in e-commerce. Many well-known traditional stores in Brazil, Argentina, and Mexico (including Magazine Luiza, Falabella, and Liverpool) have embraced e-commerce and begun to adopt omnichannel6 offerings. Falabella, for example, offers store inventory visibility and configurable delivery options through its department stores and associated E-commerce sites in Argentina, Chile, Colombia, and Peru. This paradigm contrasts with markets such as China and India, where web-only enterprises dominate E-commerce. Traditional retailers in Latin America are established brands with decades of experience, making them well-positioned to help boost consumer confidence in the online channel.

E-commerce and SMEs contribute to national development.

A substantial amount of study has been performed to determine the importance of SMEs in generating GDP growth and employment. The study found that SMEs are vital to economic health in both high- and low-income economies around the world. Retail industry leaders have taken note of the exponential growth of Brazil's e-commerce market and are aggressively expanding there. The following are some of the leading players in the Brazilian e-commerce market: The B2W group is Brazil's largest internet retailer and sixth-largest overall. Its companies, which include, Submarino, and Shoptime, are active in a number of E-commerce businesses. In 2016, B2W increased their gross merchandise. A multi-channel and integrated shopping experience across all digital platforms and physical locations. Value (GMV) climbed by 10.6% to US$4.04 billion, an absolute increase of more than US$ 386 thousand. B2W alone accounts for 26.2% (B2W, 2017) of the whole Brazilian E-commerce market, and as a company that has been selling online since 1999, it is sending strong signals about its intention to maintain market leadership.

The expansion of marketplaces in the sector cannot be ignored. Many small and medium-sized enterprises use such platforms to reach the market. By collaborating with a larger, well-known brand, these shops can gain visibility and, in certain cases, use the marketplace's fulfillment capabilities. This is especially beneficial for SMEs that lack the financial or marketing resources to develop their own E-commerce website and software. With only two years of operation, B2W Marketplace had a GMV of $714 million, a 153.4% increase over 2015, and over 4,700 merchants by the end of 2016 (B2W, 2017). Falabella, for example, offers clients a number of omnichannel fulfillment options, including ship-to-home, in-store pickup, and multiple pickup locations. Falabella also makes store inventory available online; it shows availability in-store, allows clients to select their city, and provides store information to them.

Netshoes Group

Netshoes, the world's largest online retailer of footwear and athletic goods (Fraga, 2014), has shown substantial growth potential. Founded in February 2000, the company started with a store in a parking lot in São Paulo and gradually expanded to offer women's shoes, sneakers, and sporting goods. Soon, there were eight physical locations spread over the city, including gyms and a shopping mall. The Netshoes E-commerce site was launched in 2002 as Brazil's first online sports goods firm, and by 2007, all activities had been moved online.

Netshoes is currently one of Latin America's leading e-commerce companies, with operations in Brazil, Argentina, and Mexico, and annual revenues exceeding $645 million. With over 2,000 employees and over 70 million monthly visits, the company operates more than 20 E-commerce sites in Latin America, including official NBA, NFL, and UFC stores, as well as major soccer clubs like as Corinthians, Sao Paulo, Palmeiras, River Plate, Chivas, Mexico, and others. With the consolidation of the sports industry and experience garnered from the development of the region's e-commerce culture, Netshoes decided to expand into the fashion category, founding Zattini in December 2014. Netshoes teamed with Bank of Itaú to produce a co-branded card and is now Midway Labs' official logistics distributor in Latin America.


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