THE LIMITS OF CONVERGENCE This page intentionally left blank THE LIMITS OF CONVERGENCE GLOBALIZATION AND ORGANIZATIONAL CHANGE IN ARGENTINA, SOUTH KOREA, AND SPAIN Mauro F. Guille´n PRINCETON UNIVERSITY PRESS PRINCETON AND OXFORD COPYRIGHT2001BYPRINCETONUNIVERSITYPRESS PUBLISHEDBYPRINCETONUNIVERSITYPRESS,41WILLIAMSTREET, PRINCETON,NEWJERSEY08540 INTHEUNITEDKINGDOM:PRINCETONUNIVERSITYPRESS, 3MARKETPLACE,WOODSTOCK,OXFORDSHIREOX201SY ALLRIGHTSRESERVED LIBRARYOFCONGRESSCATALOGING-IN-PUBLICATIONDATA GUILLE´N,MAUROF. THELIMITSOFCONVERGENCE:GLOBALIZATIONANDORGANIZATIONAL CHANGEINARGENTINA,SOUTHKOREA,ANDSPAIN/MAUROF.GUILLE´N. P.CM. INCLUDESBIBLIOGRAPHICALREFERENCES(P.)ANDINDEX. ISBN0-691-05705-2(ALK.PAPER) 1.INDUSTRIALORGANIZATION—ARGENTINA.2.ORGANIZATIONAL CHANGE—ARGENTINA.3.INDUSTRIALORGANIZATION—KOREA(SOUTH). 4.ORGANIZATIONALCHANGE—KOREA(SOUTH).5.INDUSTRIAL ORGANIZATION—SPAIN.6.ORGANIZATIONALCHANGE—SPAIN. 7.INTERNATIONALECONOMICINTEGRATION.I.TITLE. HD70.A65G842001 658.4′06—DC21 00-041659 THISBOOKHASBEENCOMPOSEDINELECTRATYPEFACE THEPAPERUSEDINTHISPUBLICATIONMEETSTHEMINIMUMREQUIREMENTS OFANSI/NISOZ39.48-1992(R1997)(PERMANENCEOFPAPER) WWW.PUP.PRINCETON.EDU PRINTEDINTHEUNITEDSTATESOFAMERICA 1 3 5 7 9 10 8 6 4 2 To Sandra and Daniela This page intentionally left blank CONTENTS LISTOFILLUSTRATIONS ix LISTOFTABLES x PREFACE xi ANOTEONSOURCES xiv ONE Organizations,Globalization,andDevelopment 3 PARTI DEVELOPMENTANDORGANIZATIONAL CHANGE 25 TWO ThreePathstoDevelopment,ThreeResponsesto Globalization 27 THREE TheRiseandFalloftheBusinessGroups 59 FOUR TheRoleofSmallandMediumEnterprises 95 FIVE Multinationals,Ideology,andOrganizedLabor 123 PARTII ORGANIZATIONALCHANGEAND PERFORMANCE 157 SIX DevelopingIndustry:Automobileand ComponentManufacturing 159 SEVEN DevelopingServices:BankingasanIndustryin ItsOwnRight 183 viii CONTENTS EIGHT OnGlobalization,Convergence,andDiversity 213 APPENDIX DataandSources 235 REFERENCES 243 INDEX 275 ILLUSTRATIONS 2.1. OutwardandInwardForeignTradeandInvestmentforSouth Korea,Spain,andArgentina 32 6.1. ExportsofAssembledPassengerCarsandofAutoComponents, 1970–1995 161 7.1. FreeMoneyforKoreanIndustry,1971–1991 188 7.2. Debt-EquityRatiosforNonfinancialFirms 189 8.1. TheEcologyofOrganizationalFormsunderConditionsof Globalization 215 8.2. GDPperCapitaforSelectedCountries,1870–1994 218
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