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During the 1920s, military interests in Latin America and international and diplomatic relations gave the impetus to the creation national airlines. In countries like Colombia and Brazil, the technological and commercial approaches of Germany and other Europeans nations influenced the forms airlines took. In the following decade the United States began to exert its influence which was consolidated after the Second World War. The pattern continued until the 1980s and involved strong international regulation, the predominance of publicly owned national airlines, and American technological leadership. Market liberalization then brought about a new scenario involving privatizations of national airlines across the region, intensified competition, and mergers and acquisitions that led to the formation of large carriers. Today, passenger traffic in the region is dominated by two carriers: LATAM and Avianca. Other local airlines remain, often linked to a global alliance member. Air traffic has been grown, with the prospect of further growth after economic recovery flowing the COVID-19 pandemic. Historically, commercial air traffic has adapted to the needs of its vast territory but where institutional changes have played a very important and often decisive role.

The internationalization process in recent decades has been discussed from different approaches. In this chapter, we study the evolution of selected Latin American and Spanish companies that have experienced a growing evolution from small or medium-sized enterprises to large corporations with participation in global markets and a strategic role played by the family organizations and small business groups. It is a study of multiple cases scope focused on two main lines of discussion. In one hand, the trajectories of internationalization and, and the other, the family firm organization and structure, correspondingly to sectorial aspects and the global situations that have encouraged the expansion of markets, the acquisitions of assets outside the countries of origin, and the outsourcing system. The group of companies selected to discuss the heterogeneity of the internationalization processes is based in case studies: Lojas Amerianas-Brazil, Crystal Lagoons-Chile, Despegar.com-Argentina, Sol-Meliá, Spain, Ferrovial, Spain, Talgo, Spain. Among the findings of this comparative study, the following stand out: (1) debates about the family business are alive, (2) multidimensional perspectives between countries are needed to understand not only internationalization but also the relevance of competitive learning, entrepreneurial vision evolution, and diversity of trajectories between sectors and companies, and finally (3) the importance of culture and immigration in business and family development from Small and Medium Enterprises (hereafter SME) to large businesses.

Alliances between companies are an example of a collaborative strategy adopted in anticipation of highly uncertain markets. Since 1980, the commercial airline industry has been affected by a progressive liberalization worldwide. In this historical context, most airlines reacted with defensive movements in the face of high competition. In the case of airlines in the Spanish market, one of the largest in the world due to the weight of the tourism sector in its economy, airlines responded in various ways to the intensification of competition. Iberia, the main Spanish airline, established different defensive alliance policies. In the 1980s, alliances were mainly collaborative. Since 1998, airline alliances have become coopetitive in nature, as was the case with the creation of One World group (American Airlines, British Airways, Cathay Pacific, Qantas and Iberia). The partners began to interact in a more horizontal way, maintaining various agreements (code-sharing, handling, schedule coordination, shared sales, fleet maintenance) without renouncing their independence in the face of global competition. Iberia has subsequently modified the composition of its portfolio to move towards a more vertical collaboration with the integration into the IAG Group (Iberia, British Airways, Air Lingus and Vueling). This second phase is a quest to increase market power with deep changes in the nature of its alliances while maintaining coopetitive alliances.