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Author: | Hitt, L. |
Title: | Information technology and firm boundaries: evidence from panel data |
Journal: | Information Systems Research
1999 : JUN, VOL. 10:2, p. 134-149 |
Index terms: | INFORMATION SYSTEMS INFORMATION TECHNOLOGY PANEL DATA |
Language: | eng |
Abstract: | Previous literature has suggested that information technology (IT) can affect firm boundaries by changing the costs of coordinating economic activity within and between firms (internal and external coordination). This paper examines the empirical relationship between IT and firm structure and evaluates whether this structure is consistent with prior arguments about IT and coordination. The author formulates an empirical model to relate the use of information technology capital to vertical coordination and diversification. |
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