Estrutura de capital e internacionalização de empresas brasileiras: uma análise da hipótese Upstream-downstream

Abstract

This study examines the effects of the definition of internationalization destination country in debt of Brazilian multinationals, from the hypothesis Upstream - Downstream. Upstream - Downstream hypothesis is an important theory that is used to explain the capital structure of multinational companies. This theory reconciles both positive effects (effect upstream) and negative (downstream) of internationalization on debt, based on the stability of the host country and destination of internationalization. Despite the relevance of the Upstream - Downstream hypothesis to understand the capital structure of multinational jobs that use it as a theoretical basis, it s not deepened the discussion of this stability and it s disregarded the institutional characteristics of internationalization destination countries. To deepen the discussion of stability suggested by theory, this paper has input variables with the institutional characteristics of the target countries of internationalization in econometric models used by previous studies, testing if the Upstream - Downstream hypothesis remains valid. Starting from a total sample consisting of 1199 observations involving Brazilian publicly traded multinational and domestic companies between the years 2007 to 2011. The results show that when Brazilian companies define the destination countries of its internationalization, regardless of higher or lower stability of these countries in relation to Brazil, increase their indebtedness. Therefore, the Upstream - Downstream hypothesis remained valid for Brazilian multinationals after controlling for institutional variables of destination countries of internationalization. However , the regression results showed that characteristics present in more stable countries considered not associated positively with the level of debt of multinational as suggested by the Upstream - Downstream hypothesis, indicating two possible explanations: (a) the theory still needs completion or deepening of what it considers as increased and reduced stability to explain the debt of multinational and / or (b ) the Brazilian companies are placed in a different context from the one proposed by the Upstream - Downstream hypothesis in regard to stability. For future studies it is suggested that companies from other emerging countries are analyzed, also that internal financing conditions in Brazil are investigated.