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Central American family business groups: internationalisation and diversification strategies

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  • Dina Frutos-Bencze

Abstract

Central America has been characterised by the large presence of family business groups (FBGs). The objective of this study is to gain insights about the internationalisation and diversification strategies of selected FBGs. In addition, the study examines how networking influences these strategies. Internationalisation and agency theories provide the theoretical framework for the study. The findings reveal three insights: first Central American FBGs have taken a long time to internationalise reflecting the challenges related to the economical and historical development of the region. Second, the diversification of the FBGs into various sectors of the domestic economies is a key determinant of the internationalisation strategy. Third, the ownership structure and family networking linkages also determine internationalisation strategies.

Suggested Citation

  • Dina Frutos-Bencze, 2017. "Central American family business groups: internationalisation and diversification strategies," International Journal of Business and Emerging Markets, Inderscience Enterprises Ltd, vol. 9(3), pages 198-215.
    • Handle: RePEc:ids:ijbema:v:9:y:2017:i:3:p:198-215
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