Brazil impresses with its pace of economic development. Every year more and more foreign investment are coming into the country creating the term "Brazilian miracle". Brazilians say that today's "miracle" - is the result of long-term strategy implemented by the government over the last twenty years.
The first step of Brazilian strategy development was to invest in human capital, education and science. The Government's position was the following: the more investment will be invested in universities with proper management of funds, the higher the academic position of Brazil in the world of science. As a result, today Brazil education system is among the ten most strong in the world.
The development of the Brazilian economy was originally close to the South Korea model - creating innovations by large companies. In recent years, innovative model applies to small businesses. In addition, much attention is paid to development of the regions and attempts to unload Sao Paulo, where about 40% of the GDP of the whole country are generated. The next priority for the Brazilian companies was the strengthening of partnerships and access to the neighboring countries’ markets.
Over the past decade science in Brazil has achieved significant success in the international arena. Science and Technology of Brazil in charge of the Ministry of Science and Technology, which includes the CNPq (National Research Council) and FINEP (National Agency for the funding of education and research). The Ministry also provides direct control of the National Institute for Space Research (Instituto Nacional de Pesquisas Espaciais - INPE), the National Institute for Amazonian Research (Instituto Nacional de Pesquisas da Amazonia - INPA) and the National Institute of Technology (Instituto Nacional de Tecnologia - INT). The Ministry also supervises management department in the field of computers and automated equipment - Secretaria de Política de Informática e Automação. The Ministry was established in March 1985.
Today’s Innovative culture in Brazil
In recent years, the country has witnessed a rapid growth of start-ups and entrepreneurs have chosen a unique strategy of right-product creation. All the world's most popular services, such as Amazon, Groupon etc. are presented In Brazil. But they are created by the Brazilian startups and adapted for the local market.
Brazil is actively developing incubators, most of whom work as accelerators. Programs vary in concepts and methods of organization.
Along with startups there are big companies that are trying to be innovative and learn from international experience, such as cosmetics company Natura - the market leader in Latin America. 300 of the 500 company’s employees work in R & D department. The company was one of the first to apply the concept of open innovation. Natura has created a special portal for discussion of potential projects that could establish cooperation with international universities. As a result, in 2012 the company cooperated with an innovative educational laboratory in Boston.
Basic science in Brazil
Brazil today has a well-developed organization of science and technology. Basic research is mainly carried out in public universities and research centers and institutes and sometimes - in private educational institutions, especially in the non-profit non-government organizations. In the 1990s it increased the number of private universities and companies. However, more than 90% of funding for basic research comes from government sources.
Applied research is also largely carried out in universities and research centers in the system (but not in private companies), which contradicts the experience of more developed countries such as the United States, South Korea, Germany, Japan, etc. The main reasons are:
• small private company in Brazil, which would be competitive enough or rich enough to conduct their own research;
• in particular the high technology sector in Brazil is dominated by large international companies, which, however, do not have their own research centers here.
Now however there is a reverse trend. Companies such as Motorola, Samsung, Nokia opened its own research centers in Brazil, following IBM, which created the IBM Research Center in Brazil in the 1970s. One of the incentives was the so-called "law on information technology," which is exempt from certain taxes high-tech companies in the field of telecommunications, computers, digital electronics, etc. The law draws each year more than 1.5 billion dollars of investment in the Brazilian private sector research. Some of the products and technologies developed and created by Brazilians are highly competitive in other countries: cars, airplanes, software, fiber optics, electrical appliances and so on.
Funding for research, development and innovation in Brazil comes from six main sources:
• Government (federal, state and municipal) sources
• Indirect funding through the budgets of public and private universities, institutes and centers.
• Public companies, such as Embrapa (Brazilian Enterprise for Agricultural Research).
• Industrial, commercial, private companies and service industries, is opening its research centers because of tax breaks from the government
• Domestic private and non-profit organizations or donations from individuals or companies. Example - fund of the Bank of Brazil.
• Funding from other countries, international organizations and institutions such as the Rockefeller Foundation, the Ford Foundation, Inter-American Development Bank, World Bank, UNESCO, the United Nations Development Programme, World Health Organization, the World Wildlife Fund, the Fund Kellogg Foundation, the Bill and Melinda Gates Foundation, the National Science Foundation, the Foundation Volkswagen.