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Governança Ineficiente: Uma Análise das Transações na Indústria Petroquímica Brasileira


  • Paulo Furquim de Azevedo


  • Maria Margarete da Rocha



Cross-holding (vertical quasi-integration) is often characterized as a major organizational failure in the Brazilian petrochemical industry. This paper aims to identify if there is governance misalignment in three periods: the end of the 1980’s and 1990’s, and after the founding of Braskem, in 2001. By means of an analysis of the determinants of the governance structure, in accordance with Williamson (1996), we have two main findings. First, vertical quasi-integration was an adequate solution for the transactions problems in the rise of Brazilian petrochemical industry. Given the need for aggregating complementary and non-tradable capabilities of state, domestic firms and multinationals, vertical quasi-integration was the mechanism that safeguarded the return on these capabilities. Moreover the lower level of production volatility during the 1980’s made hybrid forms, such as vertical quasi-integration, more likely. However, this governance structure became misaligned during the 1990’s because of changes in transaction attributes, particularly volatility and asset specificity. Second, there is some empirical support for path dependence on the organizational choice, as the expected decrease in vertical quasi-integration occurred only when an exogenous event created the opportunity for restructuring. As a consequence, industrial policy should take into account governance design particularly in industries that experienced deep changes in their transaction

Suggested Citation

  • Paulo Furquim de Azevedo & Maria Margarete da Rocha, 2005. "Governança Ineficiente: Uma Análise das Transações na Indústria Petroquímica Brasileira," Economia, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 6(3), pages 127-156.
  • Handle: RePEc:anp:econom:v:6:y:2005:i:3:p:27-156

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    References listed on IDEAS

    1. Carmen M. Reinhart & Kenneth S. Rogoff, 2004. "Serial Default and the "Paradox" of Rich-to-Poor Capital Flows," American Economic Review, American Economic Association, vol. 94(2), pages 53-58, May.
    2. Carmen M. Reinhart & Kenneth S. Rogoff & Miguel A. Savastano, 2003. "Debt Intolerance," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 34(1), pages 1-74.
    3. Roberto FRENKEL, 2003. "Globalization and financial crises in Latin America," Iktisat Isletme ve Finans, Bilgesel Yayincilik, vol. 18(207), pages 41-56.
    4. Oscar Centralogo & Mario Damill & Roberto Frenkel & Juan P. Jimenez, 1997. "La sostenibilidad de la política fiscal en América Latina: El caso argentino," Research Department Publications 3014, Inter-American Development Bank, Research Department.
    5. repec:rus:hseeco:123922 is not listed on IDEAS
    6. Michael Mussa, 2002. "Argentina and the Fund: From Triumph to Tragedy," Peterson Institute Press: Policy Analyses in International Economics, Peterson Institute for International Economics, number pa67, February.
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    More about this item


    Indústria Petroquímica; Nó-societário; Quase-integração Vertical; Governança;

    JEL classification:

    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure


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