South America, Clark says, is becoming an integral part of the international business world, and the chance to study emerging Latin American markets from within is essential for a large university like Harvard.

"There was a sense in the Business School that Harvard's contacts in the region were extensive and could be built on," says Gutman Professor of Latin American Affairs John H. Coatsworth. Coatsworth is also director of the Rockefeller Center for Latin American Studies.

The new research office will cover the 12 countries of South America and seven countries of Central America.

A small faculty task force started looking into possibilities in Latin America last spring after Clark made a personal visit to the region to meet with alumni and business leaders. HBS Senior Associate Dean Steven C. Wheelwright is the chair of the committee.

This task force will now help plan the center, along with an advisory group of Latin American alumni and donors convened by HBS.

Rudenstine also visited Argentina and Brazil this summer to meet with business leaders.

Rudenstine says that, though the outpost may offer some classes, there's no chance it will ever become a degree-granting extension of Harvard's campus.

"We are not aiming to set up campuses," he said.