Coordination Of Economic Activities Research Articles

Theory of analysis of the innovative ecosystems development

The ecosystem approach makes a significant contribution to understanding the current transformations of socio-economic life. New end-to-end technologies have a high potential to minimize the transaction sector in order to focus on meeting the real needs of people and firms and forming economic, political, cultural, and value institutions for sustainable development and justice for all. It seems that the technological breakthroughs of recent years, as well as the reverse pandemic economic dynamics, provide ample opportunities for the spread of innovative ecosystems as a new form of coordination of production activities. The unique characteristics of ecosystems as predominantly self-organizing communities allow us to identify a number of conceptual approaches to the analysis of their development: network, system, digital, stakeholder, and transactional. The objectives of the article do not include their detailed presentation. We show the applicability of approaches for ecosystem analysis. Based on the description of the options and possibilities for the applicability of these approaches, we came to the conclusion that the nature of innovative ecosystems is dual. First, the latter allow us to model (structure, systematize) interorganizational, inter-firm relations in a new way, to identify ecosystem features of communities, industrial and regional complexes. Second, ecosystems need to be recognized as a new form of transactional coordination of economic activity. They are alternatives to institutions such as the firm, the market, and hybrid forms. The increment of scientific knowledge consists in the implementation of the main goal of the study -the systematization of methods for analyzing the development of innovative ecosystems based on the formation of ideas for ecosystem analysis of innovation management.

Coordinating activity of independent legal entities: issues of law enforcement in conditions of economy digitalization

In article authors investigate questions of the operating legal regulation of coordination of economic activity of independent economic entities, including questions of its legisla- tive definition and signs. Article contains the detailed analysis of the most interesting examples of judicial practice and practice of antimonopoly authorities on the matter. Authors, analyzing the current legal regulation, also give an assessment to the planned changes in the legislation in this part and state the point of view about dependence of legal assessment of actions of the coordinator and the economic entities coordinated by it on operating conditions of commodity markets on which it is carried out. As a result of a research authors drew a conclusion on need of legislative changes in a part of admis- sibility of the forbidden coordination provided that the advantage for consumers of such coordination exceeds negative effects for the competition.A significant amount of works of the modern scientists and experts investigating a per- spective of institutes of the antitrust law is devoted to questions of legal qualification of coordination of economic activity of independent economic entities in legal scientific literature.The matter was also raised in publications and authors of the "Rossiyskoye Konkurent- noye Pravo I Ekonomika" magazine, at the same time, it should be noted that to consid- eration of questions of coordination of activity smaller attention is paid, than, for ex- ample, to questions of cartels.Thus, degree of scientific readiness of the matter in general is rather high, at the same time to authors the relevance of this subject and need of the analysis and assessment of the operating regulation taking into account economic features of the present stage of development of the markets seems to be of high interest.

Viability of Hierarchical Organizations under Variability of Economic Environment

In this paper I analyze the circumstances that limit replacement of large companies by network organizations. It is noted that the network organizations themselves often have hierarchical qualities that is shown in subordination of partners in network. In particular, I investigate how the variability of the economic environment influences the rational balance of centralization and decentralization in coordination of economic activity. Dynamic qualities of the environment when comparing organizational structures at first are hold fixed, then — vary. It is shown that the decentralization is not the universal answer to the variability of the economic environment. However, the combination of elements of the hierarchical and network relations within large firms promotes their adaptation to the changing dynamic qualities of the environment. Such combination helps business diversification, transition to formation of new markets instead of adaptation to market conditions. As a result, I present organizational measures of the companies implementing the strategy of “the blue ocean”.

INSTITUTIONAL CONDITIONALITY OF DEVELOPMENT OF SOVREMEN-NYH OF ECONOMIC SYSTEMS

Approaches of the institutional theory to differences between hierarchical and market mechanisms of economic interactions are researched. affirms that modern evolution leads to deleting of borders between these two forms and to their mutual interlacing. The research of the fundamental principles of organizational forms and coordination of economic activity as in each of two main forms of cooperation of economic actors - the organization (hierarchy) and the market, and between them is one of basic elements of modern economic science. With respect thereto there is a question of basic differences between them, their borders and forms of interactions. the existing universal typology not absolutely precisely reflects reality. The entities aren’t capable to perform complete optimization of transactional expenses because of complexity and the uncertainty of the environment, and also owing to limited rationality making the decision. Therefore the choice of this or that organizational “ideal model" is utopian as borders of the entities don’t give in to a limitation in connection with variety of the purposes, interdependence of actions of other economic actors as components of the external environment. The state stimulation of these or those links of economic system shall be aimed at the development not of the separate entities, but market structures in general into which they enter only as components.

Mechanisms of Global Governance: Economic Analysis

The coordination of economic activity at the global level is carried out through different mechanisms, which regulate activities of companies, states, international organizations. In spite of wide diversity of entrenched mechanisms of governance in different areas, they can be classified on the basis of key characteristics, including distribution of property rights, mechanisms of governance (in the narrow sense according to O. Williamson), mechanisms of expansion. This approach can contribute not only to classifying existing institutions but also to designing new ones. The modern aggravation of global problems may require rethinking mechanisms of global governance. The authors offer the universal framework for considering this problem and its possible solutions.

The Early Helladic II–III Transition at Lerna and Tiryns Revisited: Chronological Difference or Synchronous Variability?

Lerna and the Lower Citadel of Tiryns are key sites for understanding the Early Helladic II–III transition in the northeastern Peloponnese. We argue that the differences between the two settlements do not reflect chronological variation, but rather the ways in which each settlement responded to events ca. 2200 b.c. The ceramic and architectural sequences are used to illustrate the divergent strategies practiced by the inhabitants of each site. Lerna III–IV epitomizes the renegotiation of social values during a period when centralized decision-making and coordination of economic activities was disintegrating. Activities in the coeval Lower Citadel of Tiryns, on the other hand, reflect the maintenance of continuity in a domestic setting.

Rival commodity chains: Agency and regulation in the US and Colombian cut flower agro-industries

ABSTRACT Export-oriented development strategies and trade regimes encourage the incorporation of developing country exports into northern markets, often bringing them into competition with domestic suppliers. While studies of transnational commodity flows focus on the organization and coordination of economic activities over geographic space, little research has been done on their competitive relations. In this article, I focus on the political economy of disputes over market access by linking trade regimes to the economic and political activities of actors in the rival Colombian and US cut flower commodity chains. I argue that the regulation of the Colombian and US cut flower commodity chains is a process marked by institutional mediation and political and economic contestation. In shaping their economic spaces, a combination of shifting discourses, litigation, and political lobbying in sites of power are used by economic actors to meet their interests. The examination of rivalry over market access shows variation in the configuration of economic activity in the US cut flower market over time while drawing attention to the dynamic interaction among economic actors, institutions, and markets.

Professional Discourses under the Pressure of Economic Values

More and more professionals are being put under intense pressure by markets and organizations to achieve ‘economization’ of their field of activity. The new discourse of professionalism and the managerial norms that characterize it illustrate these pressures. Despite this evolution, which jeopardizes the autonomy of professions as an alternative form of coordination of economic activities to that of markets and organizations, some professional groups still seek to achieve the status of a self-regulated profession or at least some of the advantages of it. The case of industrial designers and landscape designers, as shown in this article, however, bears testimony that these pressures for economization have had a strong effect on the evolution of the discourse of these professionals and of their representatives seeking recognition. The economic benefits of the professional work for both clients and employers as well as for society as a whole now constitute a key theme in this discourse. However, the case of architects, an old profession already quite well protected, shows how dangerous it can be to maintain a traditional discourse without adapting it to new requirements from the professionals’ partners in economic life.

The auctioneerless economics of Axel Leijonhufvud: the ‘dark forces of time and ignorance’ and the coordination of economic activity

Leijonhufvud focuses his analysis on the coordination of economic activities. In a world tossed and torn by ever new episodes of instability, macroeconomic theory must finally admit and properly analyse the limits of collective and individual rationality. Starting from the system's coordination, Leijonhufvud underlines the crucial role of information, learning and institutions. Coming to individual choice, he unremittingly rejects unbounded rationality. Methodologically, however, his use of general equilibrium as a benchmark seems to have conditioned his analysis. In bringing to light the 'dark forces of time and ignorance', Leijonhufvud himself seems to have fallen under the influence of the siren represented by general equilibrium theory. Copyright 2006, Oxford University Press.

The metropolis in retrospect From the trading metropolis to the global metropolis

SummaryMetropolization is not a new phenomenon: metropolises have been around for centuries. The prime and permanent function of a metropolis is the coordination of economic activities at a world scale. This function has been applied to different activities in history, depending on technological conditions and economic organization, and consequently it generated different forms of metropolises. The resulting continuities and discontinuities in the metropolises' evolution can be understood in terms of agglomeration economies. In the pre-industrial period, the trading metropolis coordinates long range trade. The industrial revolutions generate new needs for coordination of production and give rise to the manufacturing metropolis. Finally, the information revolution and the emergence of the post-industrial economy create the global metropolis.

The IS Core - X: Information Systems Research and Practice: IT Artifact or a Multidisciplinary Subject?

Much recent debate focuses on the nature of information systems as an academic endeavour and whether it constitutes a single, coherent subject discipline in its own right. This paper comments particularly on the recent paper by Benbasat and Zmud [2003] that proposes an IT artifact model to provide an integrative theme for IS research, and the response by Alter [2003] who presents an alternative paradigm that emphasizes the importance of systems. The approach taken here is to define the terminology of IS and put it into a management context which is implicit in most IS research but is often overlooked in the debates on the nature of academic IS research. It is proposed that a multidisciplinary approach to IS research is the most appropriate way of conceptualizing IS problems, academic research, and business practice, and that the integrating themes arise from the terms ‘information’ and ‘systems’ rather than from the technology. A multidisciplinary view of IS has different implications for identifying appropriate research problems, research design, publication and dissemination, and for the development of professional bodies than the IT artifact philosophy. It has some similarities to the systems model proposed by Alter and takes this concept further to stress that the IS research field can make a claim not only to systems but to much broader core disciplines in management because of the ubiquitous nature of not only IT, but also because of the central role that information plays in the co-ordination of economic activity in business enterprises. To support the argument, examples of historical IS research are outlined and the importance of earlier multidisciplinary research areas is described, particularly the antecedents of OR research practice in the UK. Finally some tentative ideas on future IS research and practice are outlined.

Coordination of economic activity: An example

In this paper we consider issues of organization of economic activity, especially coordination of productive activity. We begin with a classic question; “Which economic activities are (or should be) coordinated by markets, and which by other means?” “Other means” usually refers to administrative or bureaucratic mechanisms; sometimes the word “hierarchies” is used. This paper presents a formal model focused on productive activities, in which this question can be asked. The paper also presents an example — a specialization of the model — in which efficient coordination means just-in-time production. The example has two cases. In Case 1 it is shown that the market mechanism cannot achieve efficient coordination, even though there are market equilibria. There are alternative mechanisms, especially one called a direct mechanism, that does achieve efficient coordination. In Case 2 both types of mechanism achieve efficient coordination, but the market mechanism has higher informational costs. The two cases are the same except in one respect. Therefore the different outcomes in the two cases cannot be due to properties that are the same in both cases.

Coordenação como um tema histórico-institucional: discussão de duas experiências históricas

Este artigo desenvolve uma discussão marshalliana de firmas e mercados da Inglaterra do século XIX e dos EUA do início do século XX, com o objetivo de destacar a importância de arranjos institucionais e históricos da atividade empresarial para a coordenação de decisões no sistema econômico. Na análise dos casos históricos, mercados e firmas se estruturam de acordo com padrões históricos que representam soluções para o problema da coordenação, e os arranjos canalizadores e restritivos das ações são parte integrante desses mercados e firmas. Os desenhos institucionais assumem a forma de ambientes empresariais, ao invés de arranjos avulsos entre duas ou mais empresas, e as soluções se apresentam de maneira datada e localizada. Como resultado, a discussão promove o ambiente institucional à primeira importância na coordenação da atividade econômica.

Internationalization and varieties of capitalism: the limited effects of cross-national coordination of economic activities on the nature of business systems

The increasing internationalization of economic activities in the late twentieth century has encouraged the belief that a new form of cross-national economic organization is becoming established and replacing existing forms of capitalism. Both the intensification of international competition and growth of managerial coordination across borders are seen as generating the convergence of currently separate business systems. However, the extent of such internationalization is less than often claimed, especially when compared to the late nineteenth century, and the processes by which it will lead to such convergence remain obscure. Since the different varieties of capitalist economic organization in Europe, Asia and the Americas developed over some time interdependently with dominant societal institutions, the ways in which they change as a result of internationalization are path dependent and reflect their historical legacies as well as current institutional linkages. Qualitative changes in central business system characteristics, such as ownership relations, non-ownership coordination and employment policies, are therefore unlikely to be rapid or to result solely from internationalization. Furthermore, the ways in which firms from different business systems internationalize reflect their varied natures and strategies which are unlikely to alter greatly unless key institutions alter. If multinational firms do develop different characteristics from national competitors, their impact on their domestic and host business systems will likewise depend on a number of strong conditions. Similarly, the establishment of a distinctive and dominant 'global' business system is only likely in very restrictive circumstances.

Coordination and Information: Historical Perspectives on the Organization of Enterprise

Case studies that examine how firms co-ordinate economic activity in the face of asymmetric information, information not equally available to all parties, are the focus of this volume. In an ideal world, the market would be the optimal provider of co-ordination, but in the real world of incomplete information, some activities are better coordinated in other ways. Divided into three parts, this book addresses co-ordination within firms, at the borders of firms and outside firms, providing a picture of the overall incidence and logic of economic co-ordination. The case studies - drawn from the late 19th and early 20th century, when the modern business enterprise was evolving, address such issues as the relationship between co-ordination mechanisms and production techniques, the logic of co-ordination in industrial districts and the consequences of regulation for co-ordination. Continuing the work on information and organization presented in Inside the Business Enterprise, this book provides material that may be useful for business historians and economists who want to study the development of the dissemination of information and the co-ordination of economic activity within and between firms.

Business Systems and Global Commodity Chains: Competing or Complementary Forms of Economic Organisation?

Capitalist economies are organised in a variety of different ways and, increasingly, have become more interdependent in the late twentieth century. Two recently developed frameworks for comparing systems of economic organisations and their interconnections are the business systems and global commodity chains approaches. The former focuses on particular configurations of firms and markets that have become established in distinctive institutional contexts, while the latter deals with the co-ordination of economic activities across national boundaries. These approaches differ in the specific phenomena being explained, the dimensions on which they vary, explanatory factors, major lacunae and key intellectual affinities. They are both, though, concerned with systems of economic organisation and so could be integrated into a common framework capable of explaining variations in both national and international economic co-ordination systems.

Coordination and information: Historical perspectives on the organization of enterprise

Case studies that examine how firms co-ordinate economic activity in the face of asymmetric information, information not equally available to all parties, are the focus of this volume. In an ideal world, the market would be the optimal provider of co-ordination, but in the real world of incomplete information, some activities are better coordinated in other ways. Divided into three parts, this book addresses co-ordination within firms, at the borders of firms and outside firms, providing a picture of the overall incidence and logic of economic co-ordination. The case studies - drawn from the late 19th and early 20th century, when the modern business enterprise was evolving, address such issues as the relationship between co-ordination mechanisms and production techniques, the logic of co-ordination in industrial districts and the consequences of regulation for co-ordination. Continuing the work on information and organization presented in Inside the Business Enterprise, this book provides material that may be useful for business historians and economists who want to study the development of the dissemination of information and the co-ordination of economic activity within and between firms.

The Firm As a Nexus of Treaties.

Part 1 Knowledge - its acquisition, sharing and/or asymmetry: the participatory generation of information rents and the theory of the firm, Masahiko Aoki common knowledge and the co-ordination of economic activities, Jacques Cremer profit sharing, information and employment, Matti Pohjola. Part 2 Vertical integration and the strategic management of the enterprise: what is vertical integration?, Michael H.Riordan vertical integration, transaction costs and learning by using, Kurt Lundgren the firm as a nexus of internal and external contracts, Torger Reve. Part 3 Issues of labour organization: the viability of worker ownership - an economic perspective on the political structure of the firm, Henry Hansmann intellectual skill and the role of employees as constituent members of large firms in contemporary Japan, Kazuo Koike the implicit contract for corporate law firm associates - ex post opportunism and ex ante bonding, Robert H.Mooking. Part 4 Finance and the political structure of the firm: capital structure as a mechanism of control - a comparison of financial systems, Erik Berglof long-term contracts in financial markets, Hakan Lindgren the principle of external accountability in competitive markets, Herbert Gintis union militancy and plant designs, Kar Ove Moene can transaction cost economics explain trade associations?, Marc Schneiberg and J.Rogers Hollingsworth.

TASKS OF EVALUATION IN AN EXPERIMENTAL ECONOMICS COURSE1

One set of ideas to be tested consists of assumptions about the nature of economics as a discipline. The basic assumption is that economics has a logic of its own, an inner structure, the major components of which are scarcity (including economic decisions); flows (of goods and services and of income); and coordination of economic activity (that is, of decisions and flows). These three major divisions of the subject, together with two analytical themes that run through the subject-(a) marginal analysis and (b) the use of institutions-comprise the structure of economics (Lovenstein, 1960). The major objectives quite properly follow from the conception of the discipline as having a logic of its own. In our effort, the major objective for the student is to grasp this inner structure, to see economics as a unified and usable system of thought. Of course there will be other objectives but they will be auxiliary or subordinate to this. It seems clear to me that the validation of assumptions such as these concerning the logic of a discipline is properly left to the philosophers and economists; they are the ones who bear primary responsibility for the types of analysis and logical evaluation required. The contribution of evaluation, in the sense of the data-gathering phase of curriculum development, would be incidental here. We also assume that one does not really understand a discipline until its structure has been laid bare (its basic concepts and relationships revealed); that a subject is easier to learn then; and that it is also easier to teach. These assumptions, which are obviously related to teaching and learning, imply comparisons with alternative courses of instruction and thus require comparative evidence. They will be treated in detail later.

Some Thoughts on the Changing Role of Price

This article provides some indications that plays a larger part in the coordination of economic activity in the United States than it formerly did. The phenomenon of vertical integration in agriculture, which has been widely associated with a importance of may actually have contributed to its larger importance. It is suggested that casting vertical integration in the framework provided by market structure theory may be misleading. The relationship between market structure theory and agricultural policy is briefly reexamined in this light, and it is argued that the economist should be concerned with restoring to its role of inducing change. IN THIS paper I attach two distinct meanings to the phrase changing role of price, and suggest that by overemphasis and misconception of the first and more common interpretation, we often neglect the second and more important interpretation. Ordinarily, the first meaning of changing role of price refers to the or rising importance of as a coordinator of economic activity. More specifically, what is commonly implied is the declining role of price, since numerous sectors of economic activity can be cited today in which the market system is not the main coordinator. The second meaning of the phrase is that it is the function of to induce change-changing is transitive in this meaning and intransitive in the more common meaning. It is not that I consider the two meanings inconsistent-for they are quite consistent-but my concern is rather that out of preoccupation with market structure analysis, and perhaps a too willing concession of the of importance of we may rationalize interventions into economic activity that proscribe from its change-inducing role. In large measure the separable, and not altogether consistent functions of guiding income distribution and guiding resource allocation account for the ambivalence of agricultural economic policy toward price. To a certain extent this ambivalence reflects the difference between a short-run analysis and a long-run view. It may be that these elements are intermingled to a point where the distinction between income distribution and resource allocation function is blurred because of short- vs. long-run considerations. However, I suspect the importance of has not declined, except through government intervention, but has in fact * Adaptation of a paper read at the WFEA meetings, Laramie, Wyoming, July 24, 1963.