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Incentive-Based and Knowledge-Based Theories of the Firm: Some Recent Developments

Author

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  • Nicola Meccheri
  • Mario Morroni

Abstract

This article presents a critical review of advances in incentive-based and knowledgebased theories of the firm. In particular, we address some developments in the incentive-based approach regarding relational contracts and contracts as "reference points". As far as the evolution of knowledge-based theories is concerned, we focus on the interesting implications of the concept of dynamic capabilities. Finally, we investigate some recent attempts to bridge these two main streams of research, which have for a long time been regarded as rival rather than complementary.

Suggested Citation

  • Nicola Meccheri & Mario Morroni, 2010. "Incentive-Based and Knowledge-Based Theories of the Firm: Some Recent Developments," Discussion Papers 2010/98, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
    • Handle: RePEc:pie:dsedps:2010/98
    Note: ISSN 2039-1854
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    File URL: https://www.ec.unipi.it/documents/Ricerca/papers/2010-98.pdf
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    Cited by:

    1. Rafael Pardo & Ruth Rama, 2013. "Is the Pro-Network Bias Justified?," SAGE Open, , vol. 3(3), pages 21582440134, July.

    More about this item

    Keywords

    Theory of the firm; contracts; incentives; knowledge; competencies.;
    All these keywords.

    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights

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