“Imperfect privatizations” and territorial control

The implementation of the privatization movement is anchored at the level of states, with country-by-country variations in the trend’s pace and breadth. The distinct national privatization profiles that developed in parallel with the spread of globalization have produced a situation in which many states engage in activities that are not privatized but that have nonetheless become globalized as economic actors. These are often state enterprises that have invested in foreign companies or developed their own foreign operations to increase their business, gain commercial advantages, ¹ acquire expertise, ² achieve economies of scale or improve their access to necessary resources ³ – typically the same reasons that prompt private-sector companies to expand abroad. While business motives may prevail when states internationalize their activities, political or strategic reasons are sometimes also present. ⁴