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A successful British MNE in the backyard of American big business: Explaining the performance of the American and Canadian subsidiaries of Lever Brothers 1888-1914

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  • Andrew David Allan Smith

Abstract

After 1888, Lever Brothers expanded into the United States and Canada. The surviving archival evidence suggests that the Canadian subsidiary was more successful than the American one. This article considers a number of factors that help to explain why this was the case. Some of the factors considered, such as differences between the Canadian and American tariffs, Canada's more robust system of trademark protection, and the absence of an anti-trust law in Canada before 1908, are related to themes very familiar to business historians. This article also applies concepts that are not part of the normal toolkit of business historians. The article draws on the literature on identity economics and argues that the greater success enjoyed by Lever Brothers in Canada was, in part, rooted in Canada's strongly British identity. The impact of identities on the policymakers, managers, and consumers who collectively shaped the two North American subsidiaries is assessed.

Suggested Citation

  • Andrew David Allan Smith, 2014. "A successful British MNE in the backyard of American big business: Explaining the performance of the American and Canadian subsidiaries of Lever Brothers 1888-1914," Business History, Taylor & Francis Journals, vol. 56(2), pages 135-160, March.
    • Handle: RePEc:taf:bushst:v:56:y:2014:i:2:p:135-160
    DOI: 10.1080/00076791.2012.745064
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    References listed on IDEAS

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    1. Jones, Geoffrey, 2000. "Merchants to Multinationals: British Trading Companies in the 19th and 20th Centuries," OUP Catalogue, Oxford University Press, number 9780198294504.
    2. Jones, Geoffrey, 2005. "Renewing Unilever: Transformation and Tradition," OUP Catalogue, Oxford University Press, number 9780199269433.
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