Porcelain Pony Inc. Executive Summary The following 2010 Marketing Proposal presents the possible entrance of Porcelain Pony Inc. into São Paulo and Rio de Janeiro, Brazil Brazil is an emerging economy in Latin America with huge growth potential, and high interest from foreign investors. Quality hotels are currently in low supply in Brazil, and construction of hotels and housing is forecasted to meet the demands of the increasing tourism rates as foreigners take advantage of the deflated Brazilian Real. Brazil is the venue for the 2014 World Cup, and will be held in both São Paulo and Rio de Janeiro. Also, the 2016 World Olympics are going to be in Rio de Janeiro. Along with the existing growth potential of Brazil, these events will also boost infrastructure development and construction of apartment buildings, hotels, corporate housing and residential houses. Porcelain Pony Inc. focuses on the production of high quality bidets at a low cost and has several internal strengths that will lead to the successful penetration of the Brazilian marketplace. We have analyzed the multiple options of distribution, and found the most cost beneficial method of moving our products from our supplier in Long Beach, California to our warehouse in São Paulo, Brazil. Porcelain Pony Inc. will be selling mainly to businesses, meaning there will not be any unsatisfied clients. This reinforced supply chain is a major strength and will play a significant role in the successes of Porcelain Pony Inc. We expect to break-even within the second year of operations and have a profit of $2 million by 2016. Marketing Plan: Brazil 1 Porcelain Pony Inc. Table of Contents Company Overview Mission/Vision Statement Related Economic and Cultural Influences Market Overview Market Entry Barriers to Entry Marketing Mix Customers Product Price Place Promotion SWOT Analysis Distribution Strategy Financials Break Even Analysis Income Statements Conclusion Appendix Export Quotation Worksheet Pro Forma Invoice Commercial Invoice Fatura Comercial Packing List Shipper’s Export Declaration Ocean Bill of Lading Certificate of Origin Insurance Certificate Bank Draft Letter of Credit Sources Used 3 4 7 8 12 15 17 21 22 Marketing Plan: Brazil 2 Porcelain Pony Inc. Company Overview Porcelain Pony Inc. is an up and coming company that devotes its time exporting bidets to emerging and developing markets areas. A sysnonym for bidet is “Small Saddle Horse,” which is a pony. We combined the concept of their products raw material, ceramic or porcelain with this pony-like description to arrive at the company name “Porcelain Pony.” Currently, the company is focusing on supplying two markets in Brazil with high quality, cost effective bidets, which will be used in hotels. These products will be marketed to service based companies to be implemented in the next few years. Porcelain Pony Inc is driven by being proactive in finding emerging markets and capitalizing in their potential. The company looks to expand in the future, but wants to establish a strong brand image in Sao Paulo and Rio de Janiero, which both have forecasted high tourism in the near future. Mission/Vision Statement Porcelain Pony Inc. will be recognized as the most progressive enterprise in the bidet business. We will provide our customers with high quality bidets at a low cost and promote cleanliness and health in Brazil. We want a net income 2 million dollars and revenue of 22 million dollars by 2016. “A sprayed behind is a clean behind” Marketing Plan: Brazil 3 Porcelain Pony Inc. Related Economic and Cultural Influences Cultural Influences The Portuguese were the first European settlers to arrive in the area, led by adventurous Pedro Cabral, who began the colonial period in 1500. To a degree unequaled in most of the American colonies, the Portuguese settlers frequently intermarried with both the Indians and the African slaves, and there were also mixed marriages between the Africans and Indians. As a result, Brazil's population is intermingled to a degree that is unseen elsewhere. Most Brazilians possess some combination of European, African, Amerindian, Asian, and Middle Eastern lineage, and this multiplicity of cultural legacies is a notable feature of current Brazilian culture. In the 19th century coffee became Brazil's most important product. The boom in coffee production brought a wave of almost one million European immigrants, mostly Italians, and also brought about the Brazilian republic. The coffee planters virtually owned the country and the government, until the worldwide depression evaporated coffee demand. For a long while, Brazil struggled with governmental instability, military coups, and a fragile economy. In 1989, the country enjoyed its first democratic election in almost three decades. Unfortunately, the Brazilians made the mistake of electing Fernando Collor de Mello. Mello's corruption did nothing to help the economy, but his peaceful removal from office indicated at least that the country's political and governmental structures are stable. Family is the foundation of the Brazilian social structure. The nuclear family has strong ties to the extended family, which includes cousins, aunts, uncles, grandparents, godparents, and close friends. It is quite common to have three generations living under the same roof. Married children tend to live in a house or apartment near the parents. The extended family in Brazil remains critical to any understanding of Brazilian society. Social interactions are the mortar of society holding the entire country together. The first basis of interaction is the extended family. In other words to trust is inside the extended family. The life expectancy of schooling in Brazil from primary to tertiary education is roughly a total of 14 years for males and 15 years for females. Brazil spends about 4% of the country’s GDP on education expenditures. On average people can read and write from age 15 and older. About 88 percent of the total population is literate. Marketing Plan: Brazil 4 Porcelain Pony Inc. The Brazilian legal system is based on Civil Law tradition. The Federal Constitution, in force since October 5th, 1988, is the supreme rule of the country and is characterized by its rigid written form. The Constitution organizes the country as a Federative Republic, formed by the indissoluble union of the states and municipalities and of the Federal District. The 26 federate states have powers to adopt their own Constitutions and laws; their autonomy, however, is limited by the principles established in the Federal Constitution. Brazil has a population of 146 Million people concentrated on its two hundred miles of east coast. Over 90 percent of the people live on 10 percent of the land, and over 15 Million live in Sao Paulo and Rio de Janeiro. Brazil’s ethnic composition is 55 percent European descent (primarily Portuguese), 38 percent a mixture of cultures (African, German, Japanese, Amerindian, and so forth), 6 percent African, and only 1 percent Amerindian. Brazil inherited a highly stratified society from the colonial system and from slavery, which persisted for nearly three generations after independence in 1822. The legacy of sharp socioeconomic stratification is reflected in Brazil's highly skewed income distribution, among the world's worst. In 1990 the number of indigents suffering from extreme poverty was estimated to be at least 32 million, about one-fifth of the country's total population. This included an estimated 9.6 percent of the residents of metropolitan areas, 18.4 percent of the population of other urban areas, and 42.8 percent of the rural population. Futbol is the most prominent sport in Brazil. The Brazilian national team has been victorious in the FIFA World Cup tournament a record five times, in 1958, 1962, 1970, 1994 and 2002 and is the only team to have never missed a World Cup. In fact, Brazil will be hosting the World Cup in 2014, which we feel may help with sales in future years. Over 10,000 Brazilians play professionally at home and all over the world. Brazil has even been called “The Futbol Country”. Brazilian companies have been known for shutting down operations on the day on large games and providing their employees with a place to watch the game. Carnival is also a big event in Brazil where business is left to a standstill. Carnival is an annual festival that occurs 40 days before Easter. Carnival is the most famous holiday in Brazil where the whole country basically stops for a week to participate in festivities of all kinds. When contacting an agent in Brazil during Carnival, we got a response over a week later; it included regrets for untimely help as it was Carnival the past week and no one was working. Marketing Plan: Brazil 5 Porcelain Pony Inc. The official language of Brazil is Portuguese; it is the most widely spoken language in the country. Spanish is spoken on the border areas and in schools, while other less common languages include German, Italian, Japanese, English, and a large number of minor Amerindian languages. Economic Influences Brazil is rich in resources and rich in people. Brazil has the largest economy in Latin America, and is considered the locomotive of Latin America. With nearly 200 inhabitants, favorable demographic development and strong economic growth, Brazil is a promising market with huge potential. Brazil has the fifth highest population in the world with 198,739,269 people. 86% of the population lives in urban regions. São Paulo and Rio de Janeiro are far larger than any other Brazilian city with nearly 20 million inhabitants. Gross national product was $2.024 trillion in 2009 and has been steadily increasing in the past decade at a real growth rate of 1.3%. Brazil is one of the fastest growing emerging economies in the world. Brazil relies mainly on agriculture (coffee, soybeans, wheat, rice, corn, sugarcane, cocoa, citris), mining, manufacturing, and service sectors. Personal income per capita is $10,200. Brazil is generally open to and encourages foreign investment. Brazil is the largest recipient of foreign direct investment (FDI) in Latin America, and the United States is traditionally the number one foreign investor in Brazil. Imports were $136 billion in 2009. Import partners include: US 14.9%, China 11.6%, Argentina 7.9%, Germany 7%. Major imports into Brazil incl ude: fuels and lubricants, intermediate parts, mineral products, accessories for transportation equipment, non-durable consumer goods, farming: raw materials, industrial machinery, office/science equipment, and fixed equipment. The current rate of exchange is 1 USD = 1.811 BRL. Marketing Plan: Brazil 6 Porcelain Pony Inc. Market Entry Barriers to Entry There are several factors that make exporting to Brazil very difficult. Although they will not necessarily deter companies from entering that market, they do take thoughtful consideration. Brazil is seen as a protectionist; trends show that Brazil will implement high tariffs just so Brazilian companies have a chance at competing with foreign companies. Brazil wants to protect the companies within the country and will go to great lengths to keep it this way. Brazil has a policy on the importation of used goods. Brazilian agent Taciana Zacharias warns, “It is important that the bidet is NEW, otherwise importation will be subject to the approval of Development Ministry of Industry and Foreign Trade.” Brazil is very strict on what they allow into their country. If a product is not being produced in Brazil, then a company will be able to import used products into Brazil, but if a company in Brazil can make it, then no used products may be imported. When it comes to paperwork, Brazil demands more paperwork to be done. First and foremost, Brazil requires companies to fill out a document called Fatura Comercial, which is the Brazilian version of the Commercial Invoice. Brazil also requires companies to have several documents written in Portuguese as well as English. These documents include the Commercial Invoice, Packing List, original Bill of Lading and Statement of Origin. Marketing Plan: Brazil 7 Porcelain Pony Inc. Marketing Mix Customers Hotels Porcelain Pony Inc. is looking to capitalize on the development of new hotels in our target markets São Paulo and Rio de Janeiro, Brazil. Despite the global recession, Brazil holds interest from foreign investors. Along with being the venue for the World Cup in 2014, the devaluation of the Brazilian real has caused Brazil’s tourism market to boom. There is currently a low supply of quality hotels, so it is forecasted that higher quality hotels will be built to meet demand. Investors see the long-term growth potential, and hotels are among the leading asset class for investment in Brazil. Service Companies Porcelain Pony Inc. will target service companies which are assisting in the construction of new developments Brazil. We will supply bidets to interior designers, architects, plumbers, engineers, housing development contractors, builders and retailers. Construction companies are not responsible for picking the products; they oversee the overall completion of the product. They outsource the plumbing jobs and design jobs to those who know the field better; therefore, it is better to target these customers as they will have more of an impact on the new hotel developments in São Paulo and Rio de Janeiro. Marketing Plan: Brazil 8 Porcelain Pony Inc. The Product Bidet Water Basin The Product Schedule B: 691010025 Description: Elegant design, smooth surface, and white in color. The Bidet can be used in homes, restaurants, and hotels. Each bidet is individually packaged; 10 bidets are packaged onto each pallet. Each box has the Porcelain Pony Inc logo on the box and the mark “68B” is on each pallet. Product Dimensions: 21.25” x 15.75” x 14.40” Weight: 11.02lb Packaging: Boxes on pallets The Supplier Company: Sultan International LLC Address: P. O. Box 50018 Long Beach, Ca 90815 Price/Bidet: $37.25 Cost/TEU Load: $2,980.00 Shipping Packaging Dimensions: 23” x 16.40” x 15.35” Packaging Weight: 12lbs Products/Pallet: 10 Container size: TEU Pallets/Container: 8 Products/Container: 80/TEU Weight if Product in Container: 960lbs Marketing Plan: Brazil 9 Porcelain Pony Inc. The Price Value of Goods $ 2980.00 Duty Import Duty (18%) Duty Over Industrialized Products (0%) Social Integration Program (1.65%) Contribution to the Social Security Financing (7.60%) $ 812.00 $ 6.71 $0 $ 0.61 $ 2.83 Truck Freight Domestic International $ 1,904.51 $ 300.05 $ 2204.56 Ocean Freight and Insurance $ 2027.90 Indirect Labor $ 160.00 Porcelain Pony Inc. Markup (15%) $ 1227.67 Total Total Price per Bidet $ 9412.13 $ 117.65 Place Porcelain Pony Inc. bidets will be sold in São Paulo and Rio de Janiero, Brazil. These two cities have a high population, interest from foreign hotel investors, and high tourism rates. There is a huge market for high quality/low cost bidets, and this market will increase as foreign investors continue to invest in hotel developments to meet tourism demand. Promotion Porcelain Pony Inc. plans to attract new customers, build and maintain a positive image of the company, and stand out from our competitors by sending representatives to tradeshows. Porcelain Pony Inc. is attending the Kitchen & Bath Expo: International trade show and conference for the Kitchen & Bath industry in South America by Nurnberg/Messe in Sao Paulo, Brazil in March, 2010. This trade show is anticipating attendance by interior designers, architects, engineers, builders and retailers. Trade shows are the main promotion Marketing Plan: Brazil 10 Porcelain Pony Inc. route Porcelain Pony Inc. is planning to take to attract the service company sector of our clientele base. Porcelain Pony Inc. is also going to promote their product through an active and upto-date website. Porcelain Pony Inc.'s web page will help promote our image and our product to customers. It will feature our high quality bidet and will give the consumer the ability to shop directly from our foreign warehouse in Brazil. A snapshot of our website can be found below. http://porcelainpony.webuda.com/ Marketing Plan: Brazil 11 Porcelain Pony Inc. SWOT Analysis Strengths Porcelain Pony has several internal strengths that will lead to the successful penetration of the Brazilian marketplace. The first keynote strength is a solid team in which thoughts, idea’s, and instruction come effortlessly. This group bond is a great corner stone in our strengths because it will facilitate the challenges and threats in a dynamically proactive manner. Porcelain Pony’s human assets are one of its many competitive advantages. Our second strength is the acquired of knowledge of Brazil. Over a period of several months the Porcelain Pony team has collected vast amounts of research on Brazil’s culture, economy, marketplace and people. If information is power then we are an empire. Using the information we now internally have enables us to sell our products effectively, efficiently and without marketing blunders. Porcelain Pony has a great product at an extremely cost conscious price. This enables the supply chain to achieve a higher customer service level and fill rate. Since Porcelain Pony will mainly be selling to businesses there can be no unsatisfied clients because we aren’t just selling one bidet to one person; we are selling hundreds to thousands per client. There can be no unsatisfied client. This is done by having an excellent supply chain. This reinforced supply chain is a major strength and will play a significant role in the successes of Porcelain Pony. Weaknesses Porcelain Pony's internal weaknesses are many; however, these shortcomings are easily overcome with dull diligence, teamwork, patience and hard work. The first and critical short coming of the team is that most do not speak the primary language in Brazil: Portuguese. This language barrier is certainly an internal weakness. If one wants to do business in any foreign country one must speak the language. If our competitors are able to accomplish this then in order to stay competitive we must overcome and build this weakness into our strength. Marketing Plan: Brazil 12 Porcelain Pony Inc. The second weakness is the overall lack of experience Porcelain Pony has in the Brazilian market place. Warren Buffest said “Can you really explain to a fish what it's like to walk on land? One day on land is worth a thousand years of talking about it, and one day running a business has exactly the same kind of value.” All of us are new to doing business in Brazil. There is only so much that research can prepare for. There will be many challenges ahead that will push the team to its limits. This can only be overcome by one of our greatest strengths: teamwork. Our inexperience is an internal weakness that we are happy to overcome. Opportunities Brazil is playing host to a variety of international events that will dramatically increase the demand for The Porcelain Pony. The 2014 Soccer (football) world cup will be held in both of our current demographic locations within Brazil. In addition in 2016 the World Olympics will be held in Rio de Janeiro. These events will strongly boost infrastructure growth and thus the demand for bidets will dramatically increase throughout the next six years. Brazil is one the largest growing economies in the world. In fact it was one least impacted by the global recession with a strengthening currency. This will create large amounts of new apartment buildings, hotels, corporate housing and residential houses. The Consumer Price Index in Brazil is double that of the United States. This has been historically rising and dramatically affects the price of all products. What this means is that each year while we constantly negotiate for a lower price of our product from our supplier we will be able to increase the price to our consumers creating a greater profit margin as we continue to operate. Costs A potential threat is our supply chain length. Our supplier is currently located in California. This is literally across the entire country from our corporate warehouse and distribution center in Florida. Once shipped to Florida the product must travel south to Sao Paulo. This is a vast distance to travel. This is an enormous threat to our supply chain that Marketing Plan: Brazil 13 Porcelain Pony Inc. is compensated by having a higher safety stock, and keeping our CSL high. While we are confident we are able to manage the flow of product from our supplier, to our DC and then to our warehouse in Sao Paulo. There are many external circumstances that may hinder this process. For example: weather, traffic delays, infrastructure issues, maintenance issues and natural disasters. Further government sanctions pose a significant threat to our business. Brazil is a country with many import restrictions and regulation. They have put this in place to bolster internal manufacturing and business. If Brazil increases tariff duty then our product price will have to rise in conjunction with the increased tariff. This will give domestic bidet manufactures a competitive advantage over our price point. The crime rate in Brazil has been rising continuously over the past six years. Many Brazilian citizens call it their “Urban War”. This increased risk affects all avenues of business in Brazil. This can include inventory shrink, employee absence due to urban violence, armed robbery, executive kidnap and murder. In response to this we at Porcelain Pony will conduct mandatory training to assets all employees operating in Brazil how to effectively deal with a criminal situation without succumbing to violence. Being a U.S. corporation we must follow the rule of law in our own country as well as the country we are doing business in. One major practice that is a monumental threat to our business model is the common practice of bribery in Brazil. We will not bribe any persons in any station to secure business. This may severally hamper on our ability to conduct business in Brazil. Marketing Plan: Brazil 14 Porcelain Pony Inc. Distribution Our distribution model shows the steps we are taking from purchasing out bidets from our supplier in Long Beach to the final customers in both the Rio de Janeiro and Sao Paulo, Brazil. Once we purchase our products from our supplier, Sultran International LLC in Long Beach, CA, we will use trucking provided by Freight Corner LLC to transport the product to our warehouse in Miami, Florida. We will also use their trucking services to transport our product to the Port of Miami, which will then be sent to our foreign buyers. The most efficient way for us to export our products from the United States is by way of ocean freight from the Port of Miami, Florida directly to the Port of Santos, Brazil. Our carrier of choice is Maersk Sealand Shipping Line. With Maersk, it will take about 33 days to move our product on the ocean. Although there were other carriers that provided faster service, it was more cost-efficient to ship our products via Maersk. Other shipping lines take less time, but do not ship to Santos, or any ports near to our warehouse; therefore, it makes more sense to take additional time to send it to a closer port to our warehouses and allow fewer touches in the distribution channel. After the arrival of our products to the Port in Brazil, we will transport them using Brazil Trucking Inc. to our warehouse/distribution center which is located in Sao Paulo. Once we have our products in our warehouse, we will be ready to ship them to our final customers whether that is high-end hotels, service companies, or any other source that may require our product. Since we also have a website, we will also be able to provide direct orders to customers from the port or any other more efficient way if at all possible. This description can be seen below in chart form. Marketing Plan: Brazil 15 Porcelain Pony Inc. Important Addresses Supplier- Long Beach, CA Sultan International LLC. P.O. Box 5, Long Beach, CA Transportation Trucking: Freight Corner LLC. and Brazil Trucking Inc. Ocean Carrier: Maersk Sealand Warehouse-Miami, Florida (Domestic Warehouse) 6500 NW 72 Ave. Miami, FL, 33166 Warehouse Sao Paulo, Brazil (Foreign Warehouse) Rua Faustolo Sao Paulo, 05041-001 Brazil Port of Miami, FL (Sending Port) 1015 N. American Way Miami, FL, 33166 Port of Santos, Brazil (Destination Port) Avenida Rodrigues Alves s/n Santos, Sao Paulo 11015-900 Brazil Distribution Flow Chart *Sultan International LLC. P.O Box 50018, Long Beach,CA Supplier Long Beach, Ca ---Trucker: Freight Corner LLC.--- *6500 NW 72 Ave Miami,FL, 33166 Warehouse Miami, FL ---Trucker: Freight Corner LLC.--- *1015 N. American Way Miami, FL, 33132 Port of Miami ---Shipping Line: Maersk Sealand--- *Avenida Rodrigues Alves s/n Santos, Sao Paulo 11015-900 Brazil Port of Santos, Brazil ---Trucker: Brazil Trucking--- *Rua Faustolo Sao Paulo, 05041-001 Brazil High-End Hotels Warehouse Sao Paulo, Brazil Service Companies (Architects, Plumbing Companies, etc) Other Final Customers Marketing Plan: Brazil 16 Porcelain Pony Inc. Financials Break Even Analysis BREAK-EVEN ANALYSIS Fixed Costs Costs required to produce the first unit of a product. Definition Cost 155,000.00 Advertising Budget Variable Unit Costs Costs that vary directly with the production of one additional unit. Definition Cost 37.25 Bidet Cost Amortization 320,180.13 Duties 10.15 Bank Charges 15,000.00 Shipping Costs 52.90 Contracted Labor 5,000.00 Indirect Labor 2.00 Deprecation 35,800.00 Employee Benefits 31,200.00 Insurance Expense 31,600.00 Maintenance 43,150.00 Rent 210,000.00 Other 520,021.00 Unit Selling Price: 117.65 The amount of money charged to the customer for each unit of a product or service. Expected Unit Sales: 80,000 Number of units of the product projected to be sold over a specific period of time. 89,052. Break-Even Units: 19 Marketing Plan: Brazil 17 Porcelain Pony Inc. BREAK-EVEN ANALYSIS Total Fixed Costs: Total Variable Unit Costs: 1,366,9 51.13 102.30 Expected Unit Sales: 80,000 Price per Unit: 117.65 89,052. 19 Break Even Units: Units Fixed Cost Variable Cost 10,000 1,366,951.13 1,023,000.00 20,000 1,366,951.13 2,046,000.00 30,000 1,366,951.13 3,069,000.00 40,000 1,366,951.13 4,092,000.00 50,000 1,366,951.13 5,115,000.00 60,000 1,366,951.13 6,138,000.00 70,000 1,366,951.13 7,161,000.00 80,000 1,366,951.13 8,184,000.00 You cannot compensate your costs and make profit. Total Cost 2,389,951.1 3 3,412,951.1 3 4,435,951.1 3 5,458,951.1 3 6,481,951.1 3 7,504,951.1 3 8,527,951.1 3 9,550,951.1 3 Revenue 1,176,500.0 0 2,353,000.0 0 3,529,500.0 0 4,706,000.0 0 5,882,500.0 0 7,059,000.0 0 8,235,500.0 0 9,412,000.0 0 Profit 1,213,451.13 1,059,951.13 -906,451.13 -752,951.13 -599,451.13 -445,951.13 -292,451.13 -138,951.13 Marketing Plan: Brazil 18 Porcelain Pony Inc. Income Statement Income Statement Porcelian Pony Year Ending 12/1/2011 Financial Statements in U.S. Dollars Revenue Gross Sales Less: Sales Returns and Allowances 9200115 32000 9168115 Net Sales Cost of Goods Sold Beginning Inventory Add: 186250 Purchases 2793750 Freight-in 4232000 Direct Labor Indirect Expenses Inventory Available Less: Ending Inventory 15000 761250 7988250 10200 Cost of Goods Sold 7978050 Gross Profit (Loss) 1190065 Expenses Advertising 155000 Amortization 320180 Bad Debts Bank Charges 0 15000 Charitable Contributions 0 Commissions 0 Contract Labor Depreciation Dues and Subscriptions 5000 35800 120 Employee Benefit Programs 31200 Insurance 31600 Interest 0 Legal and Professional Fees 1200 Licenses and Fees 1400 Marketing Plan: Brazil 19 Porcelain Pony Inc. Miscellaneous 32000 Office Expense 21000 Payroll Taxes 16522 Postage Rent 651 210000 Repairs and Maintenance 43510 Supplies 12900 Telephone 15189 Travel 89185 Utilities Vehicle Expenses Wages 9854 0 320000 Total Expenses 1367311 Net Operating Income (177246) Other Income Gain (Loss) on Sale of Assets Interest Income Total Other Income Net Income (Loss) 21500 21500 (155746) Marketing Plan: Brazil 20 Porcelain Pony Inc. Conclusion During our first fiscal year, we expect to post a loss of $155,746; however, during the next four fiscal years, we forecast to make a total profit of $4,000,000. Based on our findings, it seems beneficial for the company to stick through the losses in the first year and continue to grow customers, as the demand is still a few years away. Brazil is a growing economy and is positioned to be one of the worlds super power. It is currently an untapped developing market with a consistently growing consumer price index. This leads to an increasing consumer product price while maintaining our low supply cost. This will greatly improve our net profit margin and bottom line. Marketing Plan: Brazil 21 Porcelain Pony Inc. Appendix A Export Quotation Worksheet Marketing Plan: Brazil 22 Porcelain Pony Inc. Appendix B Pro Forma Invoice Marketing Plan: Brazil 23 Porcelain Pony Inc. Appendix C Commercial Invoice Marketing Plan: Brazil 24 Porcelain Pony Inc. Appendix D Fatura Comercial Marketing Plan: Brazil 25 Porcelain Pony Inc. Appendix E Packing List Marketing Plan: Brazil 26 Porcelain Pony Inc. Appendix F Shipper’s Export Declaration Marketing Plan: Brazil 27 Porcelain Pony Inc. Appendix G Ocean Bill of Lading Marketing Plan: Brazil 28 Porcelain Pony Inc. Appendix H Certificate of Origin Marketing Plan: Brazil 29 Porcelain Pony Inc. Appendix I Insurance Certificate Marketing Plan: Brazil 30 Porcelain Pony Inc. Appendix J Bank Draft Marketing Plan: Brazil 31 Porcelain Pony Inc. Appendix K Letter of Credit Marketing Plan: Brazil 32 Porcelain Pony Inc. Appendix L Sources Used Alibaba.com http://www.alibaba.com/trade/search?SearchText=bidets&Country=&IndexArea=product _en&ssk=y Brazil History http://www.geographia.com/Brazil/brazihistory.htm Brazil Travel http://www.v-brazil.com/business/retailers.html CIA World Fact Book https://www.cia.gov/library/publications/the-world-factbook/geos/br.html Consumer Price Index Brazil http://www.gwu.edu/~ibi/Statistics%20PDF%20Files/IPCA%20Price%20Index.pdf Every Culture http://www.everyculture.com/Bo-Co/Brazil.html Global Edge http://globaledge.msu.edu/resourcedesk/mpi/ Hotel News Now http://www.hotelnewsnow.com/Articles.aspx?ArticleId=2813 LDLD: Brazil. Cultural Differences. Family Structures http://www.ldldproject.net/cultures/brazil/differences/family.html Sao Paulo Official Website http://www.saopaulo.sp.gov.br/ United States Department of Labor http://www.bls.gov/fls/availability.htm U.S. Department of State http://www.state.gov/r/pa/ei/bgn/35640.htm#political Marketing Plan: Brazil 33 Porcelain Pony Inc. Marketing Plan: Brazil 34