Between Informal Networks and Formal Contracts

International Investment in Greece during the 1920s

Bibliographic Data

ID8420623
AuthorsI Minoglou, IÅ anna PepelasÄ Minoglou (corresponding author)
Year2002
Volume44
Issue2
Pages40-64
Publication date2002-04-01
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueBusiness History (JOURNAL)
Journal identifiersISSN: 0007-6791 • E-ISSN: 1743-7938
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/713999269
OpenAlexW2016430229
LanguageEN
Citations received5

This article examines network arrangements in the cross-border transfer of capital into Greece, a heavy international borrower between 1879 and 1932. The central argument is that while in the nineteenth century informal collaborative arrangements, with the Greek Diaspora playing the cohesive role, were particularly obvious in the cross border transfer of capital into Greece, in the 1920s there was a shift from more or less informal 'partnerships' to formal contracts. An example of this attempt at formalisation was the setting up of four entities/firms whose main objective was to raise the capital for a specific investment in Greece. This article examines these four entities, all of which were established in London - Britain at the time being Greece's main creditor. It is shown that these Anglo-Hellenic entities had on the whole become shell companies by the mid-1930s - in large part because they depended on the 'presumption' that the old informal network arrangements would still function to mitigate post-contractual opportunism - which did not hold ex post

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