Management scholars have long stressed the importance of evolutionary processsesfor inter-firm cooperation but have mostly missed the promising opportunityto incorporate ideas from evolutionary theories into the analysis of collaborativearrangements. In this paper, we first present three rules...

This study offers a new framework for organizing a motion picture in such a way thatchances for box-office success are enhanced. We combine and expand two strands of researchfor the moviemaking industry: the economic approach and the social network perspective.Specifically, we integrate the...

Franchisee autonomy fosters system-wide adaptability and outlet-owners’ motivationbut also raises the costs from agency problems present in franchiseefranchisordyads. Advancing upon the understanding of agency issues involved infranchising, we test the argument that chains counterbalance the...

Traditional principal agent theory interprets franchising as a solution to the agency problems associated with incentives and observability. Franchising has been viewed as an institution that aligns the right to make decisions with the residual claims deriving from these decisions. One problem...

The objective of our paper is to capture and integrate the systematic differences inperformance between independent ventures (IVs), established by individual entrepreneurs,and corporate ventures (CVs), set up by larger companies, in a simple model. We assume thatthe two players, which are bound...

In this paper, we examine ownership structures of franchise chains and evaluate their impact on franchisor profit. Specifically we compare pure forms of franchising with those that use both company-owned and franchised outlets within one chain - a phenomenon termed the plural form. Theoretically...

Typical contracts assign both coercive and non-coercive means of power to the principal's side, providing the agent with a comparably small range of countervailing anti-power. Initially agents are therefore vulnerable to opportunistic principal behavior and will rationally anticipate this threat...