Corporate ownership network: The hierarchical capitalism in the Brazilian context
Main Article Content
Abstract
Several studies have indicated a type of hierarchical capitalism in Latin America, characterized by the presence of multinational and state corporations, diversified multi-enterprise groups, low-skilled labor, and segmented labor markets. From the perspective of ownership networks, we explore who the owners of large Brazilian corporations are. These networks reveal actors and groups with prominent positions in the structure and ownership of companies. Thus, this article proposes to 1) describe the ownership network of the largest Brazilian corporations; 2) analyze the density, average degree, modularity, and the number of components connected in this network; 3) analyze measures of weighted degree centrality, intermediation, and eigenvector; 4) identify and
analyze subgroups in the network, and 5) relate the configuration of the ownership network with hierarchical capitalism in the Brazilian context. The results point to prominent positions of financial shareholders, the Brazilian state (state-owned firms), and groups composed mostly of large multinationals, financial firms, families, and state-owned firms, confirming that the ownership structure is strongly linked to these players.
Downloads
Metrics
Article Details
A RAE compromete-se a contribuir com a proteção dos direitos intelectuais do autor. Nesse sentido:
- adota a licença Creative Commoms BY (CC-BY) em todos os textos que publica, exceto quando houver indicação de específicos detentores dos direitos autorais e patrimoniais;
- adota software de detecção de similaridades;
- adota ações de combate ao plagio e má conduta ética, alinhada às diretrizes do Committee on Publication Ethics (COPE)
References
Aldrighi, D., & Postali, F. A. S. (2010). Business groups in Brazil. In A. Colpan, T. Hikino, & J. Lincoln (Eds.), The Oxford handbook of business groups (Vol. 1, pp. 353-386). Oxford: Oxford University Press, UK.
Bahamonde, J., Bollen, J., Eelejalde, E., Ferres, L., & Poblete, B. (2018). Power structure in Chilean news media. PLoS ONE, 13(6):e0197150. https://doi.org/10.1371/journal.pone.0197150
Bastian, M., Heymann, S., & Jacomy, M. (2009). Gephi: An Open Source Software for Exploring and Manipulating Networks. Proceedings of the International AAAI Conference on Web and Social Media, 3(1), 361-362. Retrieved from https://ojs.aaai.org/index.php/ICWSM/article/view/13937
Berle, A., & Means, G. (1932). The modern corporation and private property (Vol. 1). New York, USA: Editor Macmillan.
Bin, D. (2016). The politics of financialization in Brazil. World Review of Political Economy, 7(1), 106-126. https://doi.org/10.13169/worlrevipoliecon.7.1.0106
Bizberg, I. (2014). Types of Capitalism in Latin America. Interventions économiques. 49. https://doi.org/10.4000/interventionseconomiques.1772
Blondel, V., Guillaume, J. L., Lambiotte, R., & Lefebvre, E. (2008). Fast unfolding of communities in large networks. Journal of Statistical Mechanics: Theory and Experiment, 2008(10), 1000-1008. https://doi.org/10.1088/1742-5468/2008/10/p10008
Bonizzi, B., Kaltenbrunner, A., & Powell, J. (2020). Subordinate financialization in emerging capitalist economies. In The Routledge international handbook of financialization (pp. 177-187). Routledge.
Borgatti, S. P., Everett, M. G., & Johnson, J. C. (2013). Analyzing social networks (Vol. 1). Sage, Thousand Oaks, CA.
Borghi, R. A. Z., Sarti, F., & Cintra, M. A. M. (2013). The financialized structure of automobile corporations in the 2000s. World Review of Political Economy, 4(3), 387-409. doi: https://doi.org/10.13169/worlrevipoliecon.4.3.0387
Boyd, B. & Solarino, A. (2016). Ownership of Corporations: A Review, Synthesis, and Research Agenda. Journal of Management. 42. https://doi.org/10.1177/0149206316633746
Boyer, R. (2005). How and why capitalisms differ. Economy and Society, 34(4), 509-557. https://doi.org/10.1080/03085140500277070
Bruno, M., & Caffe, R. (2017). Estado e financeirização no Brasil: Iinterdependências macroeconômicas e limites estruturais ao desenvolvimento. Economia e Sociedade, 26(SPE), 1025-1062. https://doi.org/10.1590/1982-3533.2017v26n4art8
Bruno, M., Diawara, H., Araújo, E., Reis, A. C., & Rubens, M. (2011). Finance-Led Growth Regime no Brasil: Estatuto teórico, evidências empíricas e consequências macroeconômicas. Revista de Economia Política, 31(1), 730-750. https://doi.org/10.1590/S0101-31572011000500003
Campos, P. H. P. (Março, 2018). Capital estrangeiro no setor brasileiro de infraestrutura: História e situação atual. Jornal dos Economistas, 343. Retrieved from https://bityli.com/LXzKhzCJh
Cárdenas J. (2016). Why do corporate elites form cohesive networks in some countries, and do not in others? Cross-national analysis of corporate elite networks in Latin America. International Sociology, 31(3), 341-363. https://doi.org/10.1177/0268580916629965
Cardoso, V. I. C., Maia, A. B. G. R., Santos, S. M. D., & Soares, F. A. (2013). O impacto da privatização no desempenho econômico: Um estudo em empresas brasileiras de grande porte. Revista Ibero-Americana de Estratégia, 12(3), 183-211. http://dx.doi.org/10.5585/riae.v12i3.1904
Carvalho, A. C. (2018). Participação acionária em empresas listadas na BM&FBOVESPA em 2018: Um estudo de redes (Master dissertation, University of São Paulo). Retrieved from https://teses.usp.br/teses/disponiveis/96/96132/tde-08102018-153516/pt-br.php
Carvalho, C. E., & Vidotto, C. A. (2007) Abertura do setor bancário ao capital estrangeiro nos anos 1990: Os objetivos e o discurso do governo e dos banqueiros. Nova Economia, 17(3), 395-425. http://dx.doi.org/10.1590/S0103-63512007000300002
Coates, D. (2002). Varieties of Capitalism: The institutional foundations of comparative advantage. American Political Science Review, 96(3), 661-662. https://doi.org/10.1017/S0003055402740367
Collins, J., & Hussey, R. (2005). Pesquisa em administração: Um guia prático para alunos de graduação e pós-graduação. 2. ed. Porto Alegre: Bookman.
Corrado, R., & Zollo, M. (2006). Small worlds evolving: Governance reforms, privatizations, and ownership networks in Italy. Industrial and Corporate Change, 15(2), 319-352. https://doi.org/10.1093/icc/dtj018
Coutinho, L. G., & Belluzzo, G. D. M. (1998). “Financeirização” da riqueza, inflação de ativos e decisões de gasto em economias abertas. Economia e Sociedade, 7(2), 137-150. Retrieved from https://periodicos.sbu.unicamp.br/ojs/index.php/ecos/article/view/8643156
Cuervo-Cazurra, A., Inkpen, A., & Musacchio, A. (2014). Governments as owners: State- owned multinational companies. Journal of International Business Studies, 45(8), 919- 942. https://doi.org/10.1057/jibs.2014.43
Davis, G. (2008). A new finance capitalism? Mutual funds and ownership re-concentration in the United States. European Management Review, 5(1), 11-21. https://doi.org/10.1057/emr.2008.4
Davis, G. F., & Cobb, J. (2010). Resource Dependence Theory: Past and future. Research in the Sociology of Organizations, 28 21-42. https://doi.org/10.1108/S0733-558X(2010)0000028006
Davis, G., & Kim, S. (2015). Financialization of the economy. Review of Sociology, 41, 203-221. https://doi.org/10.1146/annurev-soc-073014-112402
Epstein, G. (2005). Financialization and the world economy (Vol. 1). Edward Elgar Publishing, UK.
Evans, P. B. (2012). Embedded autonomy (Vol. 1). Princeton University Press, US.
Fichtner, J., Heemskerk, E., & Garcia-Bernardo, J. (2017). Hidden power of the Big Three? Passive index funds, re-concentration of corporate ownership, and new financial risk. Business and Politics, 19(2), 298-326. https://doi.org/10.1017/bap.2017.6
Fleury, A., & Fleury, L. T. M. (January, 2006). China and Brazil in the Global Economy. IDS Bulletin, 37(1). Retrieved from https://www.ids.ac.uk/publications/china-and-brazil-in-the-global-economy/
Fligstein, N. (1990). The transformation of corporate control. Cambridge, USA: Harvard University Press.
Fligstein, N., & Brantley, P. (1992). Bank control, owner control, or organizational dynamics: Who controls the large modern corporation? American Journal of Sociology, 98(2), 280-307. https://doi.org/10.1086/230009
Fligstein, N. (2001). The architecture of markets: An economic sociology for 21st century capitalism. Princeton University Press,Princeton, N.J
Fu, S., & Cooper, K. (2020). Interorganizational network portfolios of nonprofit organizations: Implications for collaboration management. Nonprofit Management and Leadership, 31(3), 437-459. https://doi.org/10.1002/nml.21438
Gill, M. S., Vijay, T. S., & Jha, S. (2009). Corporate governance mechanisms and firm performance: A survey of literature. The Icfai University Journal of Corporate Governance, 8(1), 7-21. https://doi.org/10.1108/CG-07-2018-0244
Glattfelder, J. (2010). Ownership networks and corporate control: Mapping economic power in a globalized world (Phd thesis, ETH Zurich). Retrieved from https://www.research-collection.ethz.ch/handle/20.500.11850/152305
Glattfelder, J., & Battiston, S. (2019). The architecture of power: Patterns of disruption and stability in the global ownership network. SSRN 3314648.
Hafner-Burton, E., Kahler, M., & Montgomery, A. (2009). Network analysis for international relations. International Organization, 63(3), 559-592. https://doi.org/10.1017/S0020818309090195
Hall, P. A., & Soskice, D. (2001). An introduction to varieties of capitalism. 21-27. Retrieved from https://scholar.harvard.edu/files/hall/files/vofcintro.pdf
Ireland, P. (2012). Financialization and corporate governance. Northern Ireland Legal Quarterly, 60, 1. http://dx.doi.org/10.53386/nilq.v60i1.472
Jensen, M., & Meckling, W. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305-360. https://doi.org/10.1016/0304-405X(76)90026-X
Jeude, J., Aste, T., & Caldarelli, G. (2019). The multilayer structure of corporate networks. New Journal of Physics, 21(2), 025002. https://doi.org/10.1088/1367-2630/ab022d
Kädtler, J., & Sperling, J. H. (2002). The power of financial markets and the resilience of operations: Argument and evidence from the German car industry. Competition & Change, 6(1), 81-94. doi: https://doi.org/10.1080/10245290212672
Kaltenbrunner, A., & Painceira, P. J. (2018). Subordinated financial integration and inancialization in emerging capitalist economies: The Brazilian experience. New Political Economy, 23(3), 290-313. https://10.1080/13563467.2017.1349089
Kogut, B., & Walker, G. (2001). The small world of Germany and the durability of national networks. American Sociological Review, 66(3), 317-335. https://doi.org/10.2307/3088882
Krippner, G. (2005). The financialization of the American economy. Socio-Economic Review, 3(2), 173-208. https://doi.org/10.1093/SER/mwi008
Lazonick, W. (2010). Innovative business models and varieties of Capitalism: Financialization of the U.S. corporation. Business History Review, 84(4), 675-702. https://doi.org/10.1017/S0007680500001987
Lazonick, W., & O'Sullivan, M. (2000). Maximizing shareholder value: A new ideology for corporate governance. Economy and Society, 29(1), 13-35. https://doi.org/10.1080/030851400360541
Lazzarini, G. S. (2011). Capitalismo de laços: Os donos do Brasil e suas conexões (Vol. 1). Rio de Janeiro, RJ: Elsevier.
Lira, F. R. F. T. de. (2008). Efeitos da "financeirização" sobre a economia brasileira. Curitiba, PR: Vitrine da Conjuntura.
Lung, Y. (2004). The changing geography of the European automobile system. International Journal of Automotive Technology and Management, 4(2/3), 137-165. https://doi.org/10.1504/IJATM.2004.005324
MarketScreener. (2020). MarketScreener. Retrieved from https://www.marketscreener.com/
Miller, R. M. (2010). Latin American business history and varieties of Capitalism. The Business History Review, 84(4), 653-657. Retrieved from https://www.jstor.org/stable/27917302
Miranda, B., Crocco, M., & Santos, F. (2017). Financeirização e governança corporativa: Um estudo sobre a estrutura de controle das empresas não -financeiras do Novo Mercado da BM&FBovespa. Brazilian Keynesian Review, 3(1), 75-94. https://doi.org/10.33834/bkr.v3i1.100
Miranda, B. P. J. D., Crocco, M. A., & Santos, F. B. (2009). Impactos da financeirização sobre o padrão de financiamento e a governança das empresas não financeiras brasileiras de capital aberto: Período de 1995-2008. XVI Seminário sobre a Economia Mineira, Diamantina, Minas Gerais.
Moraes, G. C. L. (2017). Nas asas do capital: Embraer, financeirização e implicações sobre os trabalhadores. Caderno CRH, 30(79), 13-31. https://doi.org/10.1590/S0103-49792017000100002
Moreira, M., & Puga, F. (2000). Como a indústria financia o seu crescimento: Uma análise do Brasil Pós-Plano Real. Revista Econômica Contemporânea, 5, 35-67. Retrieved from https://revistas.ufrj.br/index.php/rec/article/view/19706
Morgan, G., & Kristensen, P. H. (2006). The contested space of multinationals: Varieties of institutionalism, varieties of capitalism. Human Relations, 59(11), 1467-1490. https://doi.org/10.1177/0018726706072866
Murdie, A. (2014). The ties that bind: A network analysis of human rights international nongovernmental organizations. British Journal of Political Science, 44(1), 1-27. https://doi.org/10.1017/S0007123412000683
Newman, M. (2010). Networks: An introduction (Vol. 1). Oxford University Press, UK.
Oberg, A., Korff, V. P., & Powell, W. W. (2017). Culture and connectivity intertwined: Visualizing organizational fields as relational structures and meaning systems, structure, content and meaning of organizational networks. Research in the Sociology of Organizations, 53, 17-47. https://doi.org/10.1108/S0733-558X20170000053001
Orbis. (2020). Orbis Database. Retrieved from https://www.bvdinfo.com/en-gb/our- products/data/international/orbis
Panceira, J. P. (2011). Central banking in middle income countries in the course of financialisation: A study with special reference to Brazil and Korea (Phd thesis, University of London).
Plihon, D. A. (2005). As grandes empresas fragilizadas pela finanças. In F. Chesnais (Org.), A finança mundializada (pp. 133-151). São Paulo, SP: Editora Boi Tempo.
Rodrigues, L. H. C., & Jurgenfeld, F. C. (2019). Desnacionalização e financeirização: Um estudo sobre as privatizações brasileiras (de Collor ao primeiro governo FHC)*. Economia e Sociedade, 28(2), 393-420. https://doi.org/10.1590/1982-3533.2019v28n2art05
Sacomano, M., Carmo, J. M., Ribeiro, E. S., & Cruz, G. V. W. (2020). Corporate ownership network in the automobile industry: Owners, shareholders and passive investment funds. Research in Globalization, 2, 100016. https://doi.org/10.1016/j.resglo.2020.100016
Schapiro, G. M., & Pereira, A. S. (2019). Um palacete assobradado: A coexistência entre organizações estatais e instituições de mercado no financiamento habitacional brasileiro. Revista Direito GV, 15(3). https://doi.org/10.1590/2317-6172201936
Schneider, B. (2009). Hierarchical market economies and varieties of Capitalism in Latin America. Journal of Latin American Studies, 41(3), 553-575. https://doi.org/10.1017/S0022216X09990186
Schneider, R. B., & Soskice, D. (2009). Inequality in developed countries and Latin America:
Coordinated, liberal and hierarchical systems. Economy and Society, 38(1), 17-52. https://doi.org/10.1080/03085140802560496
Scott, R. W. (2004). Reflections on a half-century of organizational sociology. Annual Review of Sociology, 30(1), 1-21. https://doi.org/10.1146/annurev.soc.30.012703.110644
Swedberg, R. (2004). Economic sociology: Today and tomorrow. Tempo Social, 16(2), 7-34. https://doi.org/10.1590/S0103-20702004000200001
Taylor, M. (2015) The Unchanging Core of Brazilian State Capitalism, 1985-2015 (October 14, 2015). School of International Service Research Paper No. 2015-8, Available at SSRN: https://ssrn.com/abstract=2674332 or http://dx.doi.org/10.2139/ ssrn.2674332
Taylor, M. (2020). Decadent developmentalism: The political economy of democratic Brazil. Cambridge: Cambridge University Press, UK.
Uzzi, B., Amaral, L. A., & Tsochas, F. R. (2007). Small world networks and management science research: A review. European Management Review, 4(2), 77-91. doi: https://doi.org/10.1057/palgrave.emr.1500078
Valor1000. (2019). Ranking 1.000 maiores empresas do Brasil. Retrieved from https://especial.valor.com.br/valor1000/2020
Vitali, S., & Battiston, S. (2014) The community structure of the global corporate Network. PLoS ONE, 9(8), e104655. https://doi.org/10.1371 journal.pone.0104655
Vitali, S., Glattfelder, J. B., & Battiston, S. (2011). The network of global corporate control. PLoS ONE, 6(10), e25995. https://doi.org/10.1371/journal.pone.0025995
Vitols, S. (2001). Varieties of corporate governance: Comparing Germany and the UK. In Hall & Soskice (Eds.), Varieties of Capitalism: The institutional foundations of comparative advantage (Vol. 1, pp. 337-369). Oxford University Press, UK.
Wahl, M. (2006). The ownership structure of corporations: Owners classification & typology. EBS Review, 2(21), 94-103. Retrieved from https://www.etis.ee/Portal/Publications/Display/9e9c2384-9b89-4552-ac14-9f0043b58417
Wasserman, S., & Faust., K. (1994). Social network analysis. Cambridge: Cambridge University Press, UK.
Wilson, F. J., Buchnea, E., & Tilba, A. (2018) The British corporate network, 1904–1976: Revisiting the finance–industry relationship. Business History, 60(6), 779-806. https://doi.org/10.1080/00076791.2017.1333106
Wolff, J. (2016). Business power and the politics of Postneoliberalism: Relations between governments and economic elites in Bolivia and Ecuador. Latin American Politics and Society, 58(2), 124-147. https://doi.org/10.1111/j.1548-2456.2016.00313.x
WorldBank. (2021, July 1). World Development Indicators database. Retrieved from https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?most_recent_value_desc=true
World Trade Organization. (2020). Report. Retrieved from https://www.wto.org/english/res_e/statis_e/daily_update_e/trade_profiles/BR_e.pdf
Zwan, N. Van Der. (2014). Making sense of financialization. Socio-Economic Review, 12(1), 99- 129. https://doi.org/10.1093/ser/mwt020