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A dynamic long-term approach to internationalization: Spanish publishing firms’ expansion and emigrants in Mexico (1939–1977)

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Abstract

This study examines how firms with scarce market and non-market resources can succeed in internationalizing, even in a host country that lacks trade and diplomatic relationships with the firms’ home country. With a hand-collected, historical database of the Spanish publishing industry’s investments in Mexico over the 20th century, we find that in a context of suspension of bilateral trade agreements and diplomatic relationships between Spain and Mexico, Spanish publishing firms leveraged Spanish emigrants to internationalize in the Mexican market, initially through exports, then through distribution and local commercial subsidiaries, and finally through local production. Spanish publishers progressively used emigrants to develop social and cultural support, to help establish formal and informal rules, procedures, and norms of institutions and to lobby in Mexico. Combining historical and inductive analyses, we offer a novel perspective on firms’ internationalization through a changing use of emigrants to endogenize the cultural, trade, and political distance between the home and the host country, and we develop new theoretical insights on the social, cultural, and political embeddedness of firms.

Résumé

Cette recherche vise à examiner comment les entreprises disposant de rares ressources marchandes et non marchandes peuvent réussir à s'internationaliser, même dans un pays d'accueil qui manque de relations diplomatiques et commerciales avec le pays d'origine des entreprises. Sur une base de données historique rassemblée à la main sur les investissements de l'industrie de l'édition espagnole au Mexique au cours du XXe siècle, nous observons que dans un contexte de suspension des accords commerciaux bilatéraux et des relations diplomatiques entre l'Espagne et le Mexique, les entreprises d'édition espagnoles ont exploité des émigrants espagnols pour s'internationaliser dans le marché mexicain, d'abord par l'exportation, puis par la distribution et les filiales commerciales locales, et enfin par la production locale. Les éditeurs espagnols ont progressivement utilisé les émigrants pour développer un soutien culturel et social, pour contribuer à établir des institutions, des normes, des procédures et des règles formelles et informelles, mais aussi pour exercer des pressions au Mexique. En combinant des analyses historiques et inductives, nous développons, d’une part, une nouvelle perspective de l'internationalisation des entreprises fondée sur l’utilisation changeante des émigrants pour endogénéiser la distance commerciale, politique et culturelle entre le pays d'origine et le pays d'accueil et, d’autre part, de nouvelles connaissances théoriques sur l’encastrement politique, culturel et social des entreprises..

Resumen

Este estudio examina cómo las empresas con recursos de mercado y no de mercado pueden tener éxito al internacionalizarse, incluso en un país anfitrión que carezca de relaciones comerciales y diplomáticas con las empresas del país de origen. Con una base de datos histórica de datos recolectados manualmente de las inversiones en México de la industria editorial española durante el siglo XX, encontramos que en un contexto de suspensión de acuerdos comerciales bilaterales y de relaciones diplomáticas entre España y México, las empresas editoriales españolas se apalancaron en emigrantes españoles para internacionalizarse en el mercado mexicano, inicialmente mediante exportaciones, luego a través de distribución y filiales comerciales locales, y finalmente mediante producción local. Las editoriales españolas progresivamente usaron emigrantes para desarrollar el apoyo social y cultural para ayudar a desarrollar reglas formales e informales, procedimiento, y normas de instituciones y para hacer lobby en México. Combinando análisis históricos e inductivos, ofrecemos una perspectiva novedosa sobre la internacionalización de las empresas mediante el uso cambiante de los emigrantes para hace endógena la distancia cultural, comercial y política entre el país de origen y el país de acogida, y desarrollamos nuevos aportes teóricos sobre la integración social, cultural y política de las empresas.

Resumo

Este estudo examina como empresas com limitados recursos de mercado e de não-mercado podem ter sucesso na internacionalização, mesmo em um país anfitrião que carece de relações comerciais e diplomáticas com o país de origem das empresas.Com um banco de dados histórico coletado à mão dos investimentos da indústria editorial espanhola no México ao longo do século 20, descobrimos que, em um contexto de suspensão de acordos comerciais bilaterais e relações diplomáticas entre Espanha e México, as editoras espanholas alavancaram emigrantes espanhóis para se internacionalizarem no mercado mexicano, inicialmente por meio de exportações, depois por meio de distribuição e subsidiárias comerciais locais e, finalmente, por meio da produção local. Editores espanhóis utilizaram progressivamente emigrantes para desenvolver apoio social e cultural, para ajudar a estabelecer regras, procedimentos e normas formais e informais de instituições e para fazer lobby no México. Combinando análises históricas e indutivas, oferecemos uma nova perspectiva sobre a internacionalização das empresas por meio de uma mudança no uso de emigrantes para reduzir a distância cultural, comercial e política entre os países de origem e anfitrião, e desenvolvemos novos insights teóricos sobre a inserção social, cultural, e política das empresas..

摘要

本研究考察了拥有稀缺市场和非市场资源的公司如何成功地实现国际化, 即使在与公司母国缺乏贸易和外交关系的东道国也是如此。 我们通过手工收集的 20 世纪西班牙出版业在墨西哥投资的历史数据库发现, 在西班牙和墨西哥之间的双边贸易协定和外交关系暂停的背景下, 西班牙出版公司利用西班牙移民在墨西哥进行国际化, 最初通过出口, 然后通过分销和当地商业子公司, 最后通过在当地生产。西班牙出版商逐渐利用移民来发展社会和文化支持, 帮助建立正式和非正式规则, 程序和制度规范, 并在墨西哥进行游说。 我们结合历史和归纳分析, 通过变化使用移民的方式将本国与东道国之间的文化, 贸易和政治距离内生化, 为企业国际化提供了一个新视角, 并且我们对企业的社会, 文化和政治的嵌入提出了新的理论见解。

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Figure 1
Figure 2

Source: Spanish foreign trade statistics, Spain Treasury’s Archives. Note: Latin America countries constitute the destination of 90% of Spanish publishing exports.

Figure 3

Source: Spanish foreign trade statistics, Spain Treasury’s Archives.

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ACKNOWLEDGEMENTS

We thank the Acting Editor, Professor Liena Kano, the anonymous reviewers and many friendly reviewers, the participants of IE Business School’s Brown Bag seminar, the participants and organizers of the session Global Contacts, Numeracy and Human Capital: The Effects of Trade and Migration at XVIII World Economic History Congress, and the interviewees. This study was partially funded by the Spanish Ministry of Economy and Competitiveness and European Regional Development Fund (ERDF) Grant No. ECO2016-77205-P, and the Spanish Ministry of Science and Innovation Grant No. PGC2018-098057-A-100.

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  1. IE Business School, Avenida Castellana 259E, 28046, Madrid, Spain

    Caterina Moschieri

  2. Cunef, C/Leonardo Prieto Castro, 2, Ciudad Universitaria, Madrid, Spain

    Maria Fernandez-Moya

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  1. Caterina Moschieri
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Accepted by Liena Kano, Guest Editor, 27 September 2021. This article has been with the authors for five revisions.

Appendix

Appendix

Table 7 Cross-country geographical distance
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Table 8 Diplomatic relationship between Spain and Mexico
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Moschieri, C., Fernandez-Moya, M. A dynamic long-term approach to internationalization: Spanish publishing firms’ expansion and emigrants in Mexico (1939–1977). J Int Bus Stud 53, 818–849 (2022). https://doi.org/10.1057/s41267-021-00489-0

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