“…Emerging economies are characterized by rapid shifts in institutional environments (Ahlstrom & Bruton, 2010), a lack of institutional stability, and institutional weakness (Rodrigues & Child, 2008). They are also characterized by deep political ties between corporations and institutions (Dieleman & Sachs, 2008;Fernandes et al, 2012;Sun et al, BAR, Rio de Janeiro, v. 14, n. 2, art. 5, e160100, 2017 www.anpad.org.br/bar 2012), hierarchical structures (Schneider, 2009), and network capitalism (Musacchio & Lazzarini, 2014), in which firm strategies are defined by cozy relationships with the state rather than by market relationships.…”