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The firm as an institution

In: Entrepreneurship and the Market Economy

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Abstract

The firm functions as a contractual hub for an entrepreneur, or a group of entrepreneurs. It also offers an institutional framework that simplifies the financing of an entrepreneur’s activities. This chapter provides a comprehensive overview of the conceptual and theoretical issues relating to the nature of the firm, presented from an entrepreneurial perspective. The focus is on a market-making firm set up to innovate a new product. Key activities are examined in detail, including contacting potential customers, advertising, delivery, collecting and processing payment, and provision of aftersales service.

Suggested Citation

  • ., 2024. "The firm as an institution," Chapters, in: Entrepreneurship and the Market Economy, chapter 5, pages 99-117, Edward Elgar Publishing.
  • Handle: RePEc:elg:eechap:23690_5
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    File URL: https://www.elgaronline.com/doi/10.4337/9781035341542.00011
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