We extend agency theory to propose that structural reform positively impacts firm profitability in developing countries because the improvements in external monitoring that accompany structural reform decrease the agency costs faced by firms. However, we also argue that not all firms benefit...

Multinational firms from Latin America, or Multilatinas, have recently emerged among the largest multinational firms in the World. This paper describes the phenomenon and argues that the emergence of Multilatinas is a consequence of the process of economic liberalization of the decade of the...