The Next Generation (A) (Spanish version)

The Tata Group began the 1990s as a confederation of loosely coupled firms. This case considers the rise to prominence of the new CEO of Tata Group, Ratan Tata, and his attempts to strengthen the inter-relationships among the group companies at a time when critics claim he should be dismantling the alliance completely. Provides an opportunity to address the benefits and costs of conglomerates in emerging markets. In particular, it demonstrates the ways in which well-run conglomerates might ameliorate the costs that poorly functioning institutions impose through their effects on market efficiency.