Business networks, foreign direct investment and monopole: the case of Telefonica, 1924-1965

Authors

  • Adoración Álvaro Moya Universitat de Barcelona

DOI:

https://doi.org/10.1344/rhi.v16i34.19809

Keywords:

Foreign Direct Investment, Business Networks, Monopole, ITT, Telefónica

Abstract

This paper analyses the role played by business networks in the evolution of foreign direct investment in Spain. For this purpose it is studied the case of one of the most important US investments in the country during the 20th century, Telefónica, whose foundation in 1924 responded to the joint action of the International Telephone and Telegraph (ITT) and some Spanish business groups, particularly the banks Urquijo and Hispano Americano. The research shows how the network developed by the US multinational and its Spanish partners, which included contacts even within the American and the Spanish governments, facilitated the entry and survival of the foreign company, as well as the continuity of the American management after the nationalization of Telefónica in 1945.

Published

2017-09-04

Issue

Section

Articles