Introduction

This book investigates the phenomenon of latecomer firms in Argentina and their ability to thrive and catch up with global competitors despite facing adverse economic conditions. The chapter outlines three specific objectives: (1) evaluating the performance of latecomer firms in Argentina compared to other firms under similar economic conditions; (2) identifying the disadvantages faced by latecomer firms in Argentina due to macroeconomic, mezzo-economic, microeconomic, institutional, and historical factors; and (3) investigating the firm-level characteristics that enable successful latecomer firms to overcome these disadvantages. The research begins by discussing the theoretical and contextual frameworks, drawing on the contributions of Gerschenkron and Nelson. It argues that latecomer firms in unfavorable conditions may still have strategic opportunities to catch up due to the diversity of firm forms and unique features. The specific context of Argentina is examined, highlighting four key latecomer disadvantages: distant export markets, technological backwardness, adverse macroeconomy, and corporate incoherence. A statistical analysis of manufacturing firms’ performance during Argentina’s severe economic crisis from 1998 to 2001 is presented. The analysis utilizes the Second Innovation Survey of Argentina and explores the relationship between firm characteristics and performance indicators. The study reveals the potential resilience of manufacturing enterprises in adverse economic conditions and emphasizes the role of non-technological firm features, such as organizational innovations, in mitigating the impact of the crisis. In-depth case studies of two successful latecomer firms in the capital goods industry, TENARIS and IMPSA, are included to complement the statistical analysis. These case studies examine the unique paths taken by these firms to survive, grow, and catch up with global competitors. The analysis explores how these firms overcame specific latecomer disadvantages and provides insights into the corporate strategies, organizational structures, and core capabilities that contributed to their differential performance. In conclusion, this book contributes to the understanding of latecomer firms in Argentina and their ability to succeed in adverse economic conditions. The findings highlight the importance of considering both quantitative and qualitative approaches in studying latecomer firms and offer valuable insights for policymakers and practitioners seeking to support the growth and catch-up of such firms in challenging economic environments.