Small business, big producers. The participation of the mexican capital in the oil previous to the expropriation

Abstract

This article describes the historical actions of the small national enterprises that took part in the Mexican oil business prior to its expropriation, an industry controlled fundamentally by foreign capital. During the Mexican revolution, hundreds of national petroleum companies were organized in the country, the majority of modest capital and limited organizational structure. In the context of an industry controlled by monopolies, several dozen small companies produced sufficient levels to take part in the market. Surprisingly, however, the most dynamic generated millions of barrels of oil and enormous earnings, temporarily surpassing production levels of the large foreign corporations. Their participation in the sector, nevertheless, often was ephemeral and rather unorthodox, with little possibility of long-term survival and development into larger companies.