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This insightful book presents a legal and economic analysis of inter-firm cooperation through networks as an alternative to vertical integration. It examines comparatively various forms of collaboration, ranging from consortia to multiparty joint ventures and from franchising to dealerships. Collaboration among firms of different sizes helps to overcome numerousweaknesses of the modern western industrial systems. It permits the governing of vertical disintegration without increasing fragmentation and transaction costs and allows firms to benefit from resource complementarities, favoring division of labour. The contributing authors, primarily focusing on Europe and the US, address important ways in which legal systems provide a framework for inter-firm coordination. It is clear from the analysis that significant obstacles to collaboration still remain, and the authors call for legal reforms at European and Member States level.
Cooperation in Research and Development provides an empirical and theoretical analysis of a distinct form of inter-firm collaboration in Research & Development (R&D): research joint ventures (RJVs). Of all types of cooperation, RJVs have received the most attention in both formal industrial organization and science and technology policy literature. The emerging theoretical economic literature on incentives of firms to join RJVs has not been followed by much empirical work. Cooperation in Research and Development attempts to fill the void caused by this lack of consistent data on the rate of RJV formation, RJV characteristics, and RJV member characteristics. Significant attention is paid to the role of RJVs in facilitating `virtual' firm diversification as necessary to pursue particular technological objectives. An effort is also made to blend the reported theoretical and empirical analyses with conceptual models of the process of technological innovation and models of industrial evolution in order to provide answers beyond the reach of the received economic theory. Cooperation in Research and Development should be of interest to academic economists, policy makers, and business representatives. The microeconomic issues the book deals with overlap significantly with the interests of decision makers both in government and business.
This book offers a distinctive analysis of the relations and interplay between the internal activities of firms, their changing boundaries, and increasing reliance on networks and alliances with other firms. The contributors offer a blend of theoretical and empirical studies; they are based on a set of related perspectives in modern economics, including transaction cost economics, competence and resource-based theories of the firm, evolutionary economics and the theories of foreign direct investments and the multinational enterprise. The unifying concern shared by the different studies is the need to model firm behaviour and inter firm cooperative activities in terms of knowledge growth and competence building rather than merely in terms of cost-reduction; they emphasize learning processes and dynamic efficiency rather than efficient allocation of given resources.
Carolin Häussler analyzes the following topics: Do inter-firm collaborations increase firm value? Does value enhancement vary according to firm and collaboration characteristics? What determines the allocation of control rights between asymmetrical partners? Does the contractual structure influence the success of collaboration? Is collaboration supporting firm restructuring in times of change?
Carolin Häussler analyzes the following topics: Do inter-firm collaborations increase firm value? Does value enhancement vary according to firm and collaboration characteristics? What determines the allocation of control rights between asymmetrical partners? Does the contractual structure influence the success of collaboration? Is collaboration supporting firm restructuring in times of change?
Trust and cooperation are at the heart of the two most important approaches to comparative politics - rational choice and political culture. Yet we know little about trust's relationship to political institutions. This book sets out a rationalist theory of how institutions - and in particular informal institutions - can affect trust without reducing it to fully determine expectations. It then shows how this theory can be applied to comparative political economy, and in particular to explaining inter-firm cooperation in industrial districts, geographical areas of intense small firm collaboration. The book compares trust and cooperation in two prominent districts in the literature, one in Emilia Romagna, Italy, and the other in Baden-Württemberg, Germany. It also sets out and applies a theory of how national informal institutions may change as a result of changes in global markets, and shows how similar mechanisms may explain persistent distrust too among Sicilian Mafiosi.