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Note that the above mechanisms only solve the problem of double marginalization; from an overall welfare point of view, the problem of monopoly pricing remains. It should also be noted that while some of the solutions presented above, such as mergers, have a positive effect in minimizing the double markup present within the vertical competition ...
A personal conflict involves a conflict between two people, most often from a mutual dislike or personality clash. [2] According to Boston University FSAO, "Causes for workplace conflict can be personality or style differences and personal problems such as substance abuse, childcare issues, and family problems.
Organizational slack occurs when firms opt to employ more resources than are needed to produce a given level of output. Unused capacity results in X-inefficiency. Organizational slack can be explained by the principal-agent problem. In companies ownership and management are separate.
Analyses of corporate interlocks have found a high degree of interconnectedness amongst large corporations. [21] [22] It has also been shown that inbound interlocks (i.e. a network link from external firms into a focal firm) have a much greater impact and importance than outbound interlocks, a finding that laid the foundation for further research on inter-organizational networks based on ...
For example, using an estimate of a firm's capital expenditure and cash flow, managers can create forecasts that assist in financial planning and improve the financial health of the firm. [ 88 ] Effective demand management considers factors which are both within and beyond the firm's control, such as disposable income, competition, price ...
Benefits of horizontal integration to both the firm and society may include economies of scale and economies of scope. For the firm, horizontal integration may provide a strengthened presence in the reference market. [5] This means that with the merger, two firms would then be able to produce more revenue than one firm alone.
There are a number of antecedents of intragroup conflict. While not an exhaustive list, researchers have identified a number of antecedents of intragroup conflict, including low task or goal uncertainty, [5] increased group size, [6] increased diversity (i.e., gender, age, race), [7] [8] lack of information sharing, [9] and high task interdependence.
A study of firms in France illustrated how distortions to the number of employees and size of a firm directly impacts levels of productivity, wage and welfare within the organisation. Firms with at least 50 workers are subject to a number of additional regulations, which leads some firms to stay below the 50-worker threshold.