Business Groups and Transnational Capitalism in Central by Benedicte Bull

By Benedicte Bull

This publication investigates vital America's political economic system obvious in the course of the lens of its strong company teams. It presents designated perception into their techniques whilst faced with a globalized economic system, their impression on improvement of the isthmus, and the way they form the political and monetary associations governing neighborhood types of capitalism.

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39 40 Business Groups and Transnational Capitalism However, data collected at one point in time has clear limitations as a means to arrive at conclusions about directions of change. Moreover, as the analysis of the 67 groups shows, there are clear differences between groups emerging from different national contexts. Thus in the second part of this chapter we analyze national trajectories in more detail. This will allow us both to follow developments over time and to discuss the importance of national institutions for the evolution of the DBGs in a global economy.

S. and European companies (Casanova, 2011), in Latin America internationalization is often motivated by accessing more stable markets and thus to reduce risk. However, whereas a risky home environment is viewed as a motivating 30 Business Groups and Transnational Capitalism factor, it is also the case that the evolution of multilatinas has depended on market reforms that first have given them a stronger foothold in the national economy (Teubal, 2004; Cuervo-Cazurra, 2012). Based on these arguments, we would expect that the groups from countries that have gone through thorough market reforms as well as experienced significant economic volatility will be more prone to expand abroad.

Thus, we move both from a quantitative to a qualitative approach, and from an ‘outside’ view attempting to sustain causal mechanisms, to an ‘inside’ view aimed at interpreting institutions and sequences of events within their national and historical context. ’ and the underlying explanatory process. Applying such a multitude of methods and techniques has its clear advantages but also disadvantages. We hope to be able to give a thorough picture of the Central American DBGs, the transformations they 20 Business Groups and Transnational Capitalism are currently undergoing, and how that is affected by, and at the same time affecting, the institutional context.

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