The role of home country political resources for Brazilian multinational companies

Resumo

This paper aims to analyze the interactions between home country governments and Developing Country Multinational Companies (DMNCs). Drawing on evidence from the Brazilian political environment and Brazilian multinationals we investigate the mechanisms governments use to influence the internationalization process of domestic companies and firms' political strategic responses to shape the political institutional environment in which they operate. We argue that foreign direct investment (FDI) outflows from developing economies need to be explored given specific country level contextual factors, such as high levels of government involvement. Our main findings support this idea and indicate that home country governments use a series of formal and informal mechanisms in order to drive the international expansion of DMNCs in both the entry and consolidation phases. Moreover, DMNCs political behavior in the home country political environment accounts for an important part of their strategy to develop political resources and obtain above average returns from governmental benefits.

Ficha do documento

Tipo

Artigo científico

Ano

2013

Instituição

ANPAD - Associação Nacional de Pós-Graduação e Pesquisa em Administração

Fonte

Repositório da FGV

Idioma

Inglês

Acesso

Acesso aberto

DOI

10.1590/S1807-76922013000400004

Identificador

oai:repositorio.fgv.br:10438/21293

Palavras-chave

Competitive advantageInteractions between companies and governmentsDeveloping country multinational companiesAdministração de empresasEmpresas multinacionais - BrasilEficiência organizacionalBrasil - Política econômica