While business reputations have fallen across the world, certain Brazilian companies have managed to grow despite poor conditions.
The Spanish consultancy Merco released a ranking of 100 brands around the world. Brazilian cosmetics Natura is at the top for the second year in a row. The cosmetics company received a perfect “10” as a result of the company’s growth and reputation. The Merco study interviewed 2,000 business executives, financial analysts, and consumers.
Over the last year, a number of companies improved their ranking drastically. Alongside American brands Netflix and Disney, Brazilian cosmetics brand Boticário also climbed the list. Despite a general recession in the cosmetics industry by 6 percent, the cosmetics company opened 4,000 stores nationwide. The group launched many stores from its new branch series Eudora, Quem disse Berenice? and The Beauty Box.
Meanwhile, the German company Volkswagen fell significantly in rankings. Due to a fine of $4.3 billion from the American government for fraud, sales fell by 7.2 percent in the U.S. In addition to decreasing sales, the fraud incident seems to have tainted the company’s reputation for good. In Merco’s rankings, Volkswagen lost 28 positions.
No trust for the corrupt
In fact, a separate study by the public relations company Edelman reveals just how important company reputation is. The “Trust Barometer” study shows 13 out of 28 countries surveyed do not trust companies. Furthermore, 18 countries showed a decrease in trust in business in the last year – Brazil included. Despite waning trust, Brazilians still remain “neutral” rather than outright “mistrustful” towards businesses.
However, certain big businesses have clearly lost the nation’s confidence. And their dip in rankings reveal just how much. Brazilian mining company Vale fell 64 spots in the ranking after the biggest environmental disaster in the company’s history. At center of the Operation Car Wash corruption investigation, Petrobras performed even more poorly, falling 85 positions.