Article Summary
The article is an analysis of how the government policies affect the success of firms in developing countries. It analyses how the environment in the countries as manipulated by the governments results in the firms developing new strategies of adapting so as to remain relevant in business. The article analyses how economic factors at the micro level affect the capability building processes in business (Figueiredo, 2008).
Strength
The article has strength in that it embraces the assimilation theory in analyzing and interpreting the evidence collected or observed in several sampled firms. In addition the fact that it engaged in sampling several firms that had different histories in the manner in which they were set up or initiated is, in itself, a merit. It analyses the firms’ capability building in terms of the capability sources in the established firms.
Weakness
The article however has several weaknesses in that its findings are as a result of carrying out a study in the Latin America continent specifically in areas around the Amazon. These countries, though developing countries, may not necessary represent the true environment in other developing countries.
Conclusion
The findings in the article are realistic and can therefore be applied in real world by established business firms.