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| Author: | Bonardi, J-P. |
| Title: | The internal limits to firms' nonmarket activities |
| Journal: | European management review
2008 : AUTUMN, VOL. 5:3, p. 165-174 |
| Index terms: | non-market activities strategy commitment public policy democracy telecommunications industry Europe |
| Language: | eng |
| Abstract: | Firms develop non-market strategies in trying to shape public policy changes to their advantage. But are there no limits to this? This paper argues that in fact an important limitation exists, internal to the firm, which comes from the necessity for firms to integrate market and non-market activities (henceforth as: act-s.). Due to these two activity types not being always complements but sometimes substitutes, firms end up giving up part of their non-market activities to avoid restricting the development of their market strategies. Based on argument testing from the European telecommunications industry, the results suggest that there is reasonable ground for optimism as to the potentially negative influence that firms' non-market act-s. might play in a democracy. |
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