Adaptation is one of the defining characteristics of life on earth. Darwin observed that finches in the Galapagos Islands adapted to their environment by evolving with specialized beaks to deal with a variety of types of fruit on each particular island. Similar adaptation can be seen in the realm of Business and international politics as well. The allure of state capitalism waxes and wanes depending on myriad factors, including the health of the global economy, the politics of neighboring nations, a country’s comparative advantage, among many other factors. In the last 30 years, there have been a few major events that have influenced nations’ perception of the comparative advantage of various type of economy to pursue. I will layout a few of the major events that have shaped global increases and decreases in SOEs.