Research Note: Interlocking Ties within Business Groups in Israel—A Longitudinal Analysis, 1974-1987

Abstract

This article focuses on longitudinal changes in interlocking ties within business groups in the Israeli economy during the years 1974-1987. In contrast to societies where the individual firm is the significant actor, in societies where business groups prevail, the interlocking directorate is one of the means of controlling and coordinating firms in the group. This article discusses some of the factors which led to the differences in interlocking ties within business groups in the Israeli context, including patterns of ownership, and management strategies adopted by groups.