Are Latin American Companies too Focused on Domestic Markets?

Last year, my friends at ICEX, the Spanish investment promotion agency, invited me to write a chapter in their Global LATAM series about Latin America’s international investments. It was an interesting exercise and it con­rmed some of my worries: one, Latin American companies have reduced their overall investments abroad, and two, these investments are concentrated in a small number of large companies. If Latin America is not able to encourage a broader range of companies to invest abroad, a continued domestic focus does not bode well for the future competitiveness of the region. Some of the fi­ndings are below. While Latin America previously led the investments from emerging markets, its ‑ows have declined since 2010 and have been surpassed by […]

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