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Exploring polarization and uniformity in sectors and inflows vis-à-vis growth: A study of Brazil-led and Mexico-led clusters in the region

Kumar, Ronald R. (2013) Exploring polarization and uniformity in sectors and inflows vis-à-vis growth: A study of Brazil-led and Mexico-led clusters in the region. Management Decision, 51 (8). pp. 1565-1578. ISSN 0025-1747

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Abstract

Purpose – The purpose of this paper is to introduce the special issue which aims to provide a better understanding of the extent of regional polarization across different economic sectors and its impact on the business environment and strategies of firms in Latin America. Design/methodology/approach – This paper introduces the topic of regional polarization, summarizes the findings from the articles in this special issue, and offers directions for future research. Findings – The macro studies showed that polarization has impacted the agricultural and sector contributions to economic growth, FDI and remittance flows to the region, and created different competitive business environments in the Brazil and Mexico-led clusters. On the other hand, these studies show uniformity in the contribution of manufacturing to growth and superior women loan repayment performance across the region. The micro level studies showed convincingly that firms have to nurture different sets of competencies in the Mexican and Brazil-led clusters. These pioneer studies show the importance of the environmental context to firm's strategy. Research limitations/implications – The alignment between firm strategy and environment is a key factor of success. In a polarized Latin America, alignment with the changing global order is a necessary condition for success. Such an alignment requires a configuration of firm strategic resources to respond to the increasing opportunities. Originality/value – The paper introduces the special issue which lays the foundation for further studies on how firms adapt to regional polarization.

Item Type: Journal Article
Subjects: H Social Sciences > HA Statistics
H Social Sciences > HC Economic History and Conditions
Divisions: Faculty of Business and Economics (FBE) > School of Accounting and Finance
Faculty of Business and Economics (FBE) > School of Economics
Depositing User: Ronald Kumar
Date Deposited: 24 Sep 2013 05:09
Last Modified: 21 Jun 2016 00:35
URI: http://repository.usp.ac.fj/id/eprint/6690
UNSPECIFIED

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