Business in Venezuela

EENI- School of International Business

Subject (Course): International Trade and Doing Business in Venezuela. Caracas. Syllabus:

Introduction to the Bolivarian Republic of Venezuela.
Venezuelan Economy.
Venezuelan petroleum
Economic Profile of the States of Venezuela.
Venezuelan international trade: Imports and exports.
Accession of Venezuela to the MERCOSUR
Foreign Direct Investment (FDI) in Venezuela.
Doing Business in Caracas.
Case Study - Venezuelan Companies:
- Petroleum of Venezuela (PDVSA).
- National Telephone Company of Venezuela
Introduction to Spanish
Access to the Venezuelan Market
Business Plan for Venezuela

Purposes of the subject “Foreign Trade and Doing Business in the Bolivarian Republic of Venezuela”:

To analyse the Venezuelan economy and foreign trade
To evaluate business opportunities in the Bolivarian Republic of Venezuela
To explore Venezuela's trade relations with the student's country
To know the Venezuela's Free Trade Agreements (FTA)
To examine the profile of Venezuelan Companies
To develop a business plan for the Venezuelan Market

Subject “Doing Business in Venezuela” is studied...

Masters (online): International Business, America
Doctorate in Business in America
Course: the Andean Markets

Course learning materials in (or Venezuela Venezuela Venezuela)

Credits of the subject “Foreign Trade and Doing Business in Venezuela”: 1
Duration: one week

Sample of the subject - Foreign Trade and Doing Business in Venezuela:
Venezuela petrol sector

Carlos C. Contreras (EENI Professor)

Subject Description: Foreign Trade and Business in Venezuela:

The Bolivarian Republic of Venezuela (America):

Venezuela is composed of twenty-three federal states and a capital district (Caracas).
Frontiers of Venezuela: Brazil, Guyana, and the Republic of Colombia.
Religion in Venezuela: Christianity (Catholicism: 27 million).
Venezuelan official language: Spanish
Venezuelan Population: 27.3 millions of people
Area: 16,445 square kilometres
Independence from Spain: 1810
Venezuelan Currency: Bolivar (VEF)
Venezuela belongs to the Latin American Economic Area of the Western Christian Civilisation
Abolition of slavery in Venezuela: 1854
African Diaspora in Venezuela: 0.8 millions of people (2,8% of the Venezuelan population)

Venezuelan Economy.

The Bolivarian Republic of Venezuela is rich in mineral resources, whereas Venezuela is more known for its hydrocarbons: ranks fifth in the World in petroleum reserve and seventh in natural gas.
The main Venezuelan economic activity is the exploitation of petroleum refining for export.
Petroleum is processed by the State Petroleum Company: Petroleum of Venezuela (PDVSA).
The Bolivarian Republic of Venezuela is rich in agricultural, animal husbandry, fishing, and forestry resources
Top trade partners of the Bolivarian Republic of Venezuela are United States, Colombia, Mexico, and Brazil.

Venezuelan Economy

Caracas.

With a population of two millions of people, Caracas is the political and economic capital of the Bolivarian Republic of Venezuela
In Caracas are concentrated the core functions of the Executive, legislative and judicial branches of Venezuela.
In Caracas, all kinds of activities are located (educational, financial, commercial, industrial and services).
A large majority of the workforce is employed in the public sector related activities.
The industrial activity is also crucial in Caracas.
Caracas is the seventh largest financial centre of Latin America (behind cities like São Paulo, Bogota, Santiago de Chile, Buenos Aires, Mexico City, and Rio de Janeiro).
Caracas generates 19% of the gross domestic product in the Bolivarian Republic of Venezuela.
Important Venezuelan companies like “Petroleum Venezuela” or CANTV, has its headquarters in Caracas.

Economic profile of the States of Venezuela.

Maracaibo (Zulia state capital) has a population of three millions of people (second biggest city in the Bolivarian Republic of Venezuela). Maracaibo is one of the largest cities in Venezuela. It is the home to largest companies, such as Banco Occidental de Descuento. One of the main economic activities of Maracaibo is the petroleum exploitation (sites in the Basin of Lake Maracaibo).
Carabobo State is one of the most vibrant of the Bolivarian Republic of Venezuela. The industry and agricultural production of Carabobo are among the biggest in Venezuela. The main economic activity of Carabobo State is industrial manufacturing (automotive, metalworking, chemicals, agribusiness, food, and consumer products).
La Guaira (Vargas State) is the largest gateway to the Bolivarian Republic of Venezuela; the Port of La Guaira is one of the biggest Venezuelan ports.
Barcelona is the capital of Anzoategui state, has a population of 620,000 inhabitants and with Puerto La Cruz, Lecheria, and Guanta forms one of the largest metropolitan areas of Venezuela (1 Million people). There are several industries: petroleum complexes and automotive factories
Barquisimeto (Lara State) is a major city strategically located, being a significant area in public service, trade, banking, and logistics. There are largest industrial companies (metallurgy, agribusiness, textiles, cement, etc.). MERCABAR, the largest wholesale market in Venezuela is in Barquisimeto.
Valencia (1.5 millions inhabitants) is regarded as the industrial city of the Bolivarian Republic of Venezuela.

Venezuelan Companies.

“Petroleum Venezuela,” the state-owned corporation of the Bolivarian Republic of Venezuela, is responsible for the efficient, profitable, and dependable exploration, production, refining, transport, and distribution of hydrocarbons. The company keeps a strong presence abroad through five offices situated in Argentina, Brazil, Cuba, the United Kingdom, and the Netherlands.
Telephones of Venezuela is the leading provider of integrated telecommunications services in Venezuela. Telephones of Venezuela had 3.6 million lines in service, 8.2 million mobile subscribers, and 528,000 broadband subscribers.

MERCOSUR