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Abstract
Privatization has become a popular strategy to promote economic development in emerging, developing, and developed economies. Despite its popularity, little attention has been devoted to examination of the organizational and managerial implications of privatization or to the effect of privatization on companies' ability to innovate and engage in entrepreneurial activities. In this article the authors discuss privatization's increasing importance and present a model that links privatization to a firm's entrepreneurial activities. The authors conclude with a discussion of issues that they believe deserve scholars' attention in theory development and subsequent empirical examination.
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