Abstract
Edith Penrose's The Theory of the Growth of the Firm proposed a process theory of growth based on the pursuit and coordination of knowledge. From 1956 to 1973, Penrose began to focus on large international firms operating in developing countries. She found government to be a continuous input to the growth process. We argue here that Penrose was a heterodox economist, who followed the methodological style and structure of her Austrian mentor Fritz Machlup, embraced the neoclassical case study method of Marshall, and articulated a viewpoint on international growth that is much in line with Roy Harrod, Maurice Byé and Charles Kindleberger, who devoted considerable attention to why governments find it necessary to impose restraints on how such firms invest in their economies. The background and development of Penrose's work has implications for theory and policy, specifically for the Resource-based view which recognizes Penrose as its founder.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
