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In this exploratory multiple case study, we aim to compare the internationalization of two state-owned enterprises (SOEs) owned by subnational governments with three owned by central governments in Latin America. This study provides a contextualized answer to the question: What are the differences in the internationalization of subnationally owned SOEs compared to central SOEs? This study finds that the speed and diversification of these two types of SOEs’ internationalization differ because they have a different expansion logic. Subnationally owned SOEs have a gradual and diversified expansion following market rules. Central government’s SOEs are specialized and take more drastic steps in their internationalization, which relates to non-market factors.

This study builds an exploratory qualitative comparative case analysis that uses multiple sources of data and information to develop a comprehensive understanding of SOEs through process tracing.

The study posits some assumptions that are confirmed in the case analysis. This study finds relevant differences between sub-national (SSOEs) and central authority (CSOEs’) strategies. SSOEs’ fewer resources and needs to increase income push them to follow a gradual market-driven internationalization and to diversify abroad. CSOEs non-gradual growth is justified by non-market factors (i.e. national politics). CSOEs do not diversify abroad due to the broader set of constituencies they have to face.

Given the exploratory comparative case study of this research, the findings are bounded by the particularities of the cases and their region (Latin America). This paper and its findings can be useful for theory building but it does not claim any generalization capacity.

This study adds complexity into the SOEs phenomenon by distinguishing between different types of SOEs. This paper contributes to the study of subnational phenomena and its effect in SOEs’ internationalization process, which is an understudied topic. To the authors’ best knowledge, this is among the first studies that explore subnational SOEs in Latin America.

This study aims to challenge the generic interpretation of Multilatinas as Latin American firms that have been able to internationalize because of highly competitive strategic capabilities. The authors test whether capabilities that international business researchers commonly associate with internationalization are necessary at different stages of the internationalization process to better understand the extent to which emerging market (EM) firms need to develop them.

International business research suggests a positive association between strategic capabilities and firm internalization. However, it remains unclear what specific capabilities are necessary and when they are necessary. These questions are particularly important in the context of the internationalization of firms from emerging economies, such as Latin America. The authors apply necessary condition analysis (NCA) on a sample of Latin American firms at different internationalization stages to test what strategic capabilities represent necessary conditions for becoming a Multilatina.

The findings suggest that only a few strategic capabilities are necessary for Latin American firms to become “Multilatinas”. While entrepreneurial orientation and marketing and sales capabilities represent necessary conditions, EM firms may internationalize even though other capabilities are developed to a lesser extent. The authors reflect on how shifts in local markets and technology drive the emergence of different types of Multilatinas.

Measuring strategic capabilities across multiple EM firms implies a risk that firm-specific aspects are not fully captured. While the authors focused on the comparative competitive strength of capabilities and took great care to minimize measurement error, the authors acknowledge possible bias. Also, while NCA does not require a minimum sample size, findings from our sample of firms from four countries may not generalize to the region or other EMs.

As a relatively new statistical technique, the use of NCA has spread rapidly. To the best of the authors’ knowledge, the linkage between organizational capabilities and firm internationalization has not been tested from a necessary conditions perspective yet. The reflections on the “Multilatina” concept based on the notion of EM firms as configurations of strategic capabilities inform current debates on EM multinational enterprises.

This paper aims to analyze how emerging market firms upgrade their capabilities by focusing on “uncommoditizing strategies” that enable them to achieve levels of international competitiveness beyond the comparative advantages of their home countries and serve markets with premium pricing, quality and reputation of products.

In this paper, the authors studied 18 Latin American companies across six countries. Latin America represents an ideal setting because many of these countries have traditionally developed using natural resource endowments, and their firms have tended to rely on these in their internationalization. To facilitate the analysis of each case and the comparisons across cases, the authors used the same analytical framework for the companies, identifying the sources of differentiation and cost efficiency strategies that enabled these firms to upgrade their capabilities and compete on the basis of premium pricing, quality and reputation.

The analysis identified a general framework that represents an abstraction of the actions taken by these companies over time. The proposed model consists of three main elements used to pursue uncommoditizing strategies: tropicalized innovation, global efficiency and coordinated control.

Recent research on emerging market firms has shown interest in how these firms upgrade their capabilities. This paper contributes to this stream of research by providing an overarching framework that not only bridged previous narrower studies but also explained how firms can develop uncommoditizing strategies to upgrade their capabilities. Further, this paper helps managers by providing a comprehensive yet succinct overview of the main strategies that they can use to help their firms to achieve international competitiveness.

The purpose of this study is to analyze interlocking directorate (ID) networks of family and nonfamily firms (FFs) in Chile, Mexico and Peru.

Social network analysis methodology allowed us to analyze the position of FFs within the structure of IDs at the local and transnational levels.

FFs tend to have a higher proportion of board interlocks to other firms, especially FFs. In addition, FFs are more likely to occupy a brokerage position in national IDs structures. Finally, they also have a higher proportion of interlocks to other domestic firms in and nearby geographic areas. Thus, they create transnational networks.

This paper finds evidence that supports three of the premises of interorganizational familiness literature (Lester and Cannella, 2006). FFs are part of national as well as international corporate networks more than other types of firms, through interlocking directorships.

Analizar redes de consejeros de empresas familiares y no familiares en Chile, México y Perú.

El análisis de redes sociales nos permitió analizar la posición de empresas familiares dentro de la estructura de redes a nivel local y transnacional.

Las empresas familiares tienen un nivel más alto de entrecruzamientos con otras empresas, especialmente con las familiares. Además, las empresas familiares son mas propensas a ocupar posiciones de intermediación en las estructuras nacionales de redes. Finalmente, también tienen más entrecruzamientos con otras empresas nacionales y en regiones geográficas cercanas por lo que crean redes transnacionales.

Encontramos evidencia que apoya los tres pilares de la literatura de familiaridad interorganizacional (Lester y Cannella 2006). Las empresas familiares son parte de una red nacional e internacional más que otros tipos de empresas a través de las interconexiones de posiciones en consejos.

Analisar redes de diretores de empresas familiares e não familiares no Chile, México e Peru.

A análise das redes sociais permitiu analisar a posição das empresas familiares na estrutura das redes a nível local e transnacional.

As empresas familiares têm um nível mais elevado de ligações cruzadas com outras empresas, especialmente as empresas familiares. Além disso, é mais provável que as empresas familiares ocupem posições intermediárias nas estruturas das redes nacionais. Por último, têm também mais referências cruzadas com outras empresas nacionais e em regiões geográficas próximas, pelo que criam redes transnacionais.

Encontramos evidências que sustentam os três pilares da literatura sobre familiaridade interorganizacional (Lester e Cannella 2006). As empresas familiares fazem parte de uma rede nacional e internacional mais do que outros tipos de empresas através do interconexões de cargos nos conselhos de administração.