Two weeks after Cinepolis released a documentary film about corruption, a judge ordered its provisional suspension, claiming it had to be edited before it continued to be shown, against Mexican cinematography laws. Cinépolis, Latin America’s largest movie theater chain and the fourth largest in the world, welcoming 134 million moviegoers in 2011, had never distributed a film in its 40-plus years of existence, nor had there ever been an instance of pro-bono distribution in Mexico. Presumed Guilty, the country's highest grossing documentary, not only achieved commercial success but also fueled a revolution in Mexico’s judicial system. Alejandro (as he was called by everyone who worked with him) knew he faced a difficult decision. What risks would Cinépolis run if he chose to fight for freedom of speech? How far was he willing to take such a fight?
In June 2020, XP and Itaú faced intensified competition and tension in their partnership, with the latter owning a minority stake at XP. Two years earlier, in May 2017, Itaú had announced it would acquire 49.9% of XP for $1.8 billion, followed by three additional stages leading to company control. Yet in August 2018, Brazil’s Central Bank, partially barred the deal, stating Itaú could become a minority shareholder.Tensions surfaced as soon as the deal was formalized, with both companies engaging in public attacks across several marketing campaigns, with Itaú estimated to lose around $27 million a day to XP from client migration. Moreover, XP faced increased competition from emerging investment platforms that were gaining ground in Brazil´s market. By mid-2020, XP´s financial results had skyrocketed, taking in $190 million in net income and $743 million in total revenues. As Guilherme Benchimol, XP´s CEO, looks ahead, he must define what strategies they should pursue to achieve further growth, considering competitive forces and market opportunities at hand.
This chapter provides an overview of the evolution of international business over the long-run as well as the strategies of MNEs. It highlights how strategies became more complex over time with MNEs moving from being coordinators of resources and managers of geographical distance to orchestrators of global value creating centers, a role which is changing again as value chains are curbed in response to the growth of political nationalism. The chapter further highlights the recent dialogue between international business history and international business strategy, and discusses opportunities for further interdisciplinary collaboration between the two disciplines in the production of research that is not only of relevance for academics, but is also of significance in explaining today’s business world. The chapter challenges the idea that many unexpected international business challenges require strategies by MNEs that are labelled as ‘new’. Overall, it demonstrates how history can refine theory, and how it provides learning opportunities for researchers in international business, practitioners and policy makers.
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Maria Fernanda Miguel joined Harvard Business School in 2013 as Director for the Latin America Research Center (LARC). Her responsibilities include leading research activities for Spanish speaking countries in LATAM, and providing programmatic support to different areas of HBS including admissions, executive education, and immersion programs. Fernanda is based in Buenos Aires, Argentina.
Prior to join Harvard Business School, Fernanda was a Senior Director and Leader for LATAM Business Development at Merck and senior consultant at McKinsey & Co., serving as global Practice Manager for the Business Technology Office Health Care Practice.
She holds a degree in economics from the Argentine Catholic University, an MBA from Harvard Business School, and a Master of Research from University of Bath.
Fernanda has been very active in non-profit activities, including fund rising at the Fundación Acción Hemato-oncologica – Argentine National Academy of Medicine, and acting as advisor to the Board of Directors of the Hospital Garrahan.