Birth of New Firms: Knowledge is Key
Ever since Ronald Coase posed the question in 1937 -“Why do firms exist?”-, all the answers given have explained the genesis of firms oÂnly in terms of the need to economize oÂn costs, such as transaction costs, agency costs, and supervision and monitoring costs. In their paper “Dispersed Knowledge and an Entrepreneurial Theory of the Firm”, Nicholas Dew of the Naval Postgraduate School, S. Ramakrishna … [ Read more ]
Content: Article | Authors: Nicholas Dew, S. Ramakrishna Velamuri, Sankaran Venkataraman | Source: IESE Insight | Subject: Entrepreneurship