Narayan AmmachchiHarvard Business School relocated its Latin American research center (LARC) from Buenos Aires (Argentina) to the neighboring Uruguayan city of Montevideo, apparently because of Argentina’s fragile economic situation.
The research center, located in the Montevideo Technical Park (LATU), has been hailed as “a valuable resource” for employers, policymakers and academics since its training programs and seminars assist upskill graduates wishing to start a career in business.
Since its founding in 2000, LARC has helped Harvard professors develop more than 150 research cases and projects on management and economic challenges in 14 countries in the region. It also collaborates with local companies to boost staff skills and increase productivity.
The move is “a sign of the growing economic and political instability in Argentina,” according to Uruguayan newspaper El Pais, which cites the nation’s high inflation rate and ongoing debt issue.
Additionally, it “deals a blow to Argentina’s reputation as a centre for academic research” and “sends a message that Argentina is no longer a secure or desirable location for foreign investment.”
Analysts speculate that Harvard’s decision to leave might have been influenced by factors other than the growing costs of conducting business, such as the ongoing exodus of experts needed for research operations.
At the center’s opening, Harvard professor Michael Chu said the center is moving after 20 years because Uruguay is “a country where people want to live” and where HBS “can recruit professionals.”
Add comment