Paper Title
The Impacts and Limitations of Large Conglomerates on Economic Growth

Abstract
Emerging markets face critical coordination failures in underdeveloped economies because of a lack of complex and independent infrastructure networks. To overcome coordination failures various countries have utilized large conglomerates. Over the past 50 years, emerging economies that followed the same strategy either joined the high-income group or became outperformers among their peers. It is important to understand the impacts and limitations of large conglomerates on economic growth. Two variables are created to describe the total number of conglomerates and their introduction each year in their respective market. Combining panel data from nine countries (China, Hong Kong, Indonesia, Malaysia, Singapore, South Korea, Thailand, Japan, and the USA) and creating three models yield various results. The three models were as follows; all nine countries, of the nine, the seven developing countries, and the two developed countries. The results show that for all countries measured for each addition of a conglomerate in total conglomerates, GDP growth rate decreases by 0.35%, but the introduction of a parent company for a future conglomerate increases GDP growth rate by 1%. For developing countries where Japan and the USA are excluded, the addition of one new parent company for a future conglomerate increases GDP growth rate by 1.8%. For the last model, that only included, developed countries, for each addition of a conglomerate in total conglomerates, GDP growth rate increases by 0.04%. Keywords - Conglomerates, Economic Growth, Development