New Dimensions of Brazilian Economy Internationalization: Portugal as a Strategic Location for Embraer’s Investments and their Impact on the Regional Economy
DOI:
https://doi.org/10.59072/rper.vi35.412Abstract
The success of the Real Plan enabled an increasing number of Brazilian companies to invest abroad, particularly in the 2000s. EMBRAER, the world’s third largest aircraft constructor, is one good example of this trend. This paper analyzes the motivations of EMBRAER/OGMA, and its investments in Portugal, the second in importance outside Brazil, including an interview with the local company board in 2011. First, we address the current stage of development in the aircraft industry. Second, we present FDI theories. Third, we describe the EMBRAER’s global expansion. Fourth, we focus on its motivations for investing in Portugal. Finally we draw some remarks stressing the impact of these investments on the economy through, for example, the creation of clusters.
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