ABSTRACT
In the last quarter of the nineteenth century British foreign investment was a growing trend, but the majority of capital outflow was concentrated in bonds, stocks and shares. These ‘arm’s length’ 2 speculations were generally purchased by individuals or firms as a sideline to their core interests. Foreign direct investment – the commitment to build and run a business abroad – was by contrast fairly rare and the establishment of large-scale industrial plants with high-cost social-overhead infrastructure was very unusual. This chapter will consider how aspects of British business organisation and management translated within foreign direct investment. It will reveal that, despite shared ownership between unrelated partners, Briggs, Posselt and Co., Marki was an example of family capitalism, rather than the increasingly prevalent joint-stock model. Although the interlocking directorates of the domestic and foreign firms might suggest their interdependence, this chapter will show that the Marki venture should not be considered the branch of an international company but an independent concern which tailored its strategy and products to the host market.
