The Effect of Firm Ownership Structure in Dynamism Market
The framework of this paper develops organizational ownership pattern from transaction cost theory and motivation theory on the strength of dynamic circumstances. We will discuss how ownership, management rights, and knowledge power organize and react to their system in different dynamic markets. Resource-based view has told us that a firm exploits and accumulates its resources to create competitive advantages in slow and traditional markets. The focus of ownership pattern moves toward shareholders and ownership gets more concern than others. However, the markets are not still over time, they are dynamic with different changing speed. In order to sustain competitive advantages in moderately dynamic markets, firms need to gather more useful information and enhance their dynamic capacities. It requires managers to set prudent routine and execute those ideas in the best position. Hence, the focus of ownership pattern would incline to move to executive officers and management rights would have more impact than ownership in moderately dynamic markets. In high-velocity markets, a firms competitive advantages come from consecutive choices, experiments, and rapid feedback. A proper organization structure under high-velocity market is small, organic, and flat. The firm needs to enrich its knowledge to judge and response in no time, so that ownership pattern shifts to knowledge workers and knowledge power. Workers with idiosyncratic knowledge become more influential than ownership and management rights.
ownership pattern competitive advantage transaction cost market dynamism knowledge power
Chien-Hung Lee Jia-Min Huang Jen-Fang Lee
National Chengchi University Taipei, Taiwan
国际会议
成都
英文
260-264
2010-07-09（万方平台首次上网日期，不代表论文的发表时间）