The Impact of Globalization on Argentina and Chile

The Impact of Globalization on Argentina and Chile

Business Enterprises and Entrepreneurship

Edited by Geoffrey Jones and Andrea Lluch

During the first global economy of the late nineteenth century and early twentieth century, Argentina became one of the richest countries on earth, while Chile was an economic backwater. During the contemporary era of globalization, liberalization and institutional reforms in Chile provided a context in which business grew, while in Argentina, institutional dysfunction made productive business hard to sustain. This book explores the complex relationships between corporate behavior, institutions and economic growth through the contrasting experiences of Argentina and Chile. In nine chapters written by prominent business historians, the work addresses the role of business in these two eras of globalization, examining the impact of multinationals, the formation of business groups, and relations between business and governments. It places the regional experience within the context of the worldwide history of globalization.


Geoffrey Jones and Andrea Lluch

Subjects: business and management, entrepreneurship, international business, economics and finance, economic psychology


It is now commonplace that the contemporary era of globalization was preceded by a massive globalization wave which started in the second half of the nineteenth century and ultimately collapsed as a result of the World Wars and Great Depression of the twentieth century. This book explores how these globalization waves impacted the countries of Argentina and Chile in the Southern Cone of Latin America. The story is stark and very relevant even for people with no knowledge of the region. In particular, the history of the two countries reveals the complex, asymmetrical and non-linear nature of globalization. During the late nineteenth century both countries flourished as major export economies sending primary commodities to the West. In the case of Argentina, it was beef and wheat. Great riches were earned, modern industrialization began, and the country became one of the richest in the world. Chile boomed by supplying nitrates to the world economy, and even if they made the country less wealthy than Argentina, they still provided up to one half of government revenues.