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Business and development: how organization, ownership and networks matter

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  • Ignacio Puente
  • Ben Ross Schneider

Abstract

A recent wave of research – including the five books we review – argues for paying more attention to business and the private sector when explaining development outcomes. We draw on these books to make four main arguments. First, micro-attention to variations in business organization and behavior forces a framework shift away from a statist literature that attributed explanatory power to bureaucracies and state capacity and away from market-oriented institutionalists who focus on rules – domestic and international – rather than organizations like firms. Second, we identify aspects of firm organization and ownership as key variables in assessing business impact on development. Third, we highlight the development-enhancing networks that grow out of, and transcend, firms. Fourth, we suggest that business characteristics should be both inputs into policy-making and targets of policy. The paper closes with a reminder that beyond its direct contributions to development, business is also a powerful actor in shaping politics and policy in its favor.

Suggested Citation

  • Ignacio Puente & Ben Ross Schneider, 2020. "Business and development: how organization, ownership and networks matter," Review of International Political Economy, Taylor & Francis Journals, vol. 27(6), pages 1354-1377, November.
  • Handle: RePEc:taf:rripxx:v:27:y:2020:i:6:p:1354-1377
    DOI: 10.1080/09692290.2020.1727548
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    Cited by:

    1. Sonja Avlijaš, 2022. "How Regional Integration Agreements Can Foster Inclusive Growth: Lessons From Exporting Smes In The Western Balkans," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 67(235), pages 67-94, October –.
    2. Avlijas, Sonja & Gartzou-Katsouyanni, Kira, 2024. "Firm-centered approaches to overcoming semi-peripheral constraints," LSE Research Online Documents on Economics 123742, London School of Economics and Political Science, LSE Library.

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