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Multinational Firms Analysis in Southeast Asia
GOVT2119 - Southeast Asia: Dilemmas of Development
9 Pages • Essays / Projects • Year: Pre-2021
Conglomerates in Southeast Asia present an interesting perspective into the divergence in economic formation in the international sphere because they present themselves as an international phenomenon. Conglomerates in Southeast Asia, known as bamboo networks, are understood as being responsible for the top 40% of the stock (Ramachandran, Manikandan and Pant, 2013) in the market and have therefore brought a significant amount of attention from scholarship to understand their dominance. Social capital and political business constitute an incredibly important element contributing to their rise and resilience, however, focusing singularly on the role of social capital networks and political business is a teleology as it is ignoring the implications these phenomena serve in allowing the organisations to be adaptable and the contextual influence of Asian values culture. Therefore, the following article will indicate how components of political business and social capital networks only constitutes the form and function of conglomerates and rather it is their application and flexibility that has ensured their continuity in the markets of Southeast Asia. The most evidential group embodying these components is the Malaysian conglomerate run by Robert Kuok. A further analysis of this group will conclude how the application of this theory is evidence based and indicates how the rise and resilience of conglomerate groups is an abiding trend.
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