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    Political Institutional Change, Obsolescing Legitimacy, and Multinational Corporations: The Case of the Central American Banana Industry

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    Political Inst Change MIR.pdf (721.3Kb)
    Issue Date
    2012-12
    Author
    Bucheli, Marcelo
    Kim, Min-Young
    Publisher
    Springer Verlag
    Type
    Article
    Article Version
    Scholarly/refereed, publisher version
    Metadata
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    Abstract
    This paper studies the practice of integration of influential host country actors to a multinational corporation as a strategy to decrease problems of legitimacy to the foreign firm before the host country’s society. By developing the concept of obsolescing legitimacy, we argue that this strategy provides legitimacy to the foreign firm only in the absence of institutional changes at the macro-political level in the host country. Once these changes take place, an alliance by the multinational to an elite or a political system no longer ruling the host country will become a liability and will generate problems of legitimacy for the multinational. We illustrate our argument with the case of the US multinational United Fruit Company in Central America.
    Description
    12 month Embargo (expires Dec 1st, 2013). This is the author final draft. The published version may be found here:http://doi.org/10.1007/s11575-012-0141-4
    URI
    http://hdl.handle.net/1808/11023
    DOI
    https://doi.org/10.1007/s11575-012-0141-4
    Collections
    • School of Business Scholarly Works [212]
    Citation
    Kim, Minyoung. (2012) Political Institutional Change, Obsolescing Legitimacy, and Multinational Corporations: The Case of the Central America Banana Industry. Management International Review, 52 (6), 847-877. http://doi.org/10.1007/s11575-012-0141-4

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    Lawrence, KS 66045
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    Contact KU ScholarWorks
    785-864-8983
    KU Libraries
    1425 Jayhawk Blvd
    Lawrence, KS 66045
    785-864-8983

    KU Libraries
    1425 Jayhawk Blvd
    Lawrence, KS 66045
    Image Credits
     

     

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