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Author: | Halonen-Akatwijuka, M. |
Title: | Organizational design, technology and the boundaries of the firm |
Journal: | Economica
2010 : JUL, VOL. 77:307, p. 544-564 |
Index terms: | productivity integration technology COMPANIES |
Freeterms: | holdup |
Language: | eng |
Abstract: | Focus improves productivity. However, this leads to more dependency and opens a door for holdup problems. This article analyses how organizational design interacts with the allocation of ownership in minimizing the holdup problem. A new cost of integration is identified. It is also shown that the boundaries of the firm depend on technology. |
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