This paper examines the impact of coordination costs and organizational rigidity on the returns to diversification. The central thesis is that coordination costs offset economies of scope, while organizational rigidity increases coordination costs, further constraining economies of scope. The...

Team production is ubiquitous in the economy, but managing teams effectively remains a challenge for many organizations. This paper studies how familiarity amongst teammates influences the performance of specialist teams, relative to non-specialist teams. Applying theories of team production to...