Special Economic Zone: a path to foster Chinese FDI in Brazil
Abstract
The paper presents the creation of a Special Economic Zone (SEZ) in Pouso Alegre city (Minas Gerais state) in the Brazilian territory, as a path to attract Foreign Direct Investment (FDI) from China. The hypothesis is that Minas Gerais could be receiving more FDI should the right incentives be put into place. A SEZ is a tool to foster the economic and social development of the city and surrounding areas. Strategic planning for reviewing the micro and macro environments are analyzed to understand if the venture is viable and validate the choice of Pouso Alegre city. Also, Brazil’s and Minas Gerais’ economic backgrounds are presented to showcase the potential of opportunities already in place. This paper highlights how the economic measures necessary to implement the SEZ will reduce bureaucratic obstacles and promote international investment.
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