The Strategies of the Spanish cotton textile companies before the Civil War: the road to longevity

This study, based on family business theories, offers an innovative vision of the Spanish cotton industry. It proves that Spanish cotton companies, just like their European counterparts, implemented a strategy that was consistent with their nature as family businesses and went beyond the economic-institutional frames within which they developed. The article identifies this strategy as `conservative, because its main objectives were longevity and family control and because it was based on a high percentage of own resources, low levels of indebtedness and organic growth, thus sacrificing profitability for the sake of security.Universidad Pablo de OlavidePostprin

Global strategies, differing experiences. Electricity companies in two late-industrialising countries: Spain and Argentina, 1890–1950

The article compares the performance and profitability rates of electric utility firms in Spain and Argentina from the early period of global electrification to the period following World War 2. It aims to analyse the relationship between the investment strategies of international electricity companies and local conditions in two lateindustrialising countries, and evaluate its impact on the structure and development of both electric utility systems. The study finds similar long-term trends in profitability as a result of the global strategies of multinational holding companies; nonetheless profitability rates varied greatly from one country to another. Rates were higher in Argentina as foreign firms controlled large systems in most dynamic urban areas. In contrast, the increasing investment of local firms in electric utilities paved the way to a less profitable but more equitable electricity system in SpainFil: Lanciotti, Norma Silvana. Universidad Nacional de Rosario. Facultad de Cs.económicas y Estadística. Escuela de Economía. Departamento de Analisis Economico; Argentina. Consejo Nacional de Investigaciones Científicas y Técnicas; ArgentinaFil: Bartolome, Isabel. Universidad de Sevilla; Españ

Accounting quality in railway companies during the nineteenth and twentieth centuries: the case of Spanish NORTE and MZA

Prior literature studying railway accounting during the nineteenth and twentieth centuries defends the thesis of lack of reliability of accounting figures. This prior research, which mainly studies the cases of the United Kingdom and the United States, offers mixed views on the causes, or simply accepts this thesis without providing conclusive evidence, as is the case of historical research in Spain. We provide novel evidence on the quality of railway accounting and contribute to this prior debate by (1) analysing the accounting for two material accruals: depreciation and prior period adjustments; (2) studying the persistence of earnings and its components, and (3) analysing how accrual accounting affects persistence. These analyses are conducted for the period 1856-1939 for the two major Spanish railway companies (MZA and NORTE). The reported evidence suggests that earnings are highly persistent. However, we show that there are significant differences across firms and that these differences are particularly obvious when analysing the adjustments for prior period earnings. Overall, our evidence does not support the thesis that accounting was underdeveloped, but rather, that managerial accounting choices lowered accounting quality.We acknowledge financial assistance from the Spanish Ministry of Science and Innovation (Ministerio de Ciencia e Innovacion) (ECO2013-48328, ECO2016-77579). CAM (H2015/HUM-3353), the Catedra UAM-Auditores Madrid, Spanish Railway Foundation, and 6th ed. AECA Research Grants (2015-2016)