Pattern in Corporate Evolution

Questions relating to the existence and nature of firms have become major issues in economics in recent years. The agenda in this area has been largely set by transaction cost economics. This approach has provided a basis for explaining the boundaries and structure of the firm in a variety of contexts. Neil Kay follows the agenda set by transaction cost economics, but he is unique in providing improved explanations of individual phenomena as well as a more general framework for analysing the nature and behaviour of firms. He illustrates his argument with sixty figures which present the relations between firms in a graphic form. The book develops a resource-based perspective of the firm. This in turn provides the foundations for the analysis of the firm as a complex system, in which links composed of shared resources constitute basic building blocks. The evolution of th efirm from simple beginnings to complex system is then studied in a number of areas, including vertical integration, diversification, multi-national enterprise, joint venture, alliance, network, and internal organization.Neil Kay's analysis advances current theories of the firm and will be essential reading for academics and researchers involved in business economics, strategic management, and organization theory.