ABSTRACT
The 1960s’ crisis in industrial profitability generated profound transformations in the productive sector; this, together with the financial sector’s activation that offered an alternative for valorisation, boosted processes of the internationalisation of capital. This chapter reviews the internationalisation strategy through foreign direct investment (FDI) movements from a theoretical point of view to determine its implications for accumulation. It presents a discussion of the characteristics of FDI movement in Latin America and their influence in the region’s export model. The chapter analyses the outward-oriented growth strategy in Latin America and Mexico, underlining goals and mechanisms. Brazil and Mexico were the Latin American economies that received the most FDI in the whole region, rising from 42% in 1990 to 60% in 2016. Important phenomenon in Latin America that began with the export model dominated by finance is the outflow of FDI in the form of investments abroad by the large Latin American companies.
