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Synergy and Organization: The Case of Danfoss

Author

Listed:
  • Mikael Iversen

Abstract

This paper suggest a typology of possible sources of synergies. The paper further proposes that companies cannot exploit all opportunities for synergy because these may require coordination which might add costs that more than offset the advantages gained. The cost of coordination in turn depends on the organiza-tional context, because it affects the way the sources of synergies must be coordi-nated. These propositions are subsequently illustrated with examples from the Danish company, Danfoss.

Suggested Citation

  • Mikael Iversen, "undated". "Synergy and Organization: The Case of Danfoss," IVS/CBS Working Papers 99-11, Department of Industrial Economics and Strategy, Copenhagen Business School.
    • Handle: RePEc:ivs:iivswp:99-11
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    File URL: http://ep.lib.cbs.dk/download/ISBN/8778690463.pdf
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    More about this item

    Keywords

    synergy; corporate organization; strategy;
    All these keywords.

    JEL classification:

    • D2 - Microeconomics - - Production and Organizations
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

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