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Corporate Strategy - Economists Jockey for Position: This 10-page essay examines some of the prevalent theories purported by economics professors, Oliver Williamson, Gary Hamel / C.K. Prahalad, and Michael Porter. Additionally, by way of example Microsoft’s corporate strategies are critically evaluated as they pertain to specific theories. The essence of strategic positioning is to choose activities that are divergent from one’s rivals – often much easier said than done. Bibliography lists 7 sources. SNCorp12.doc
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File: D0_SNCorp12.doc
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ones rivals - often much easier said than done. Bibliography lists 7 sources. SNCorp12.doc Corporate Strategy: Economists Jockey for Position Written
by Susan A. Nelson - July, 2001 For More Information On This Paper Please Introduction After decades of relative neglect theories relevant to the corporation have again
become one of the most rapidly expanding research areas in economics. It has become obvious that no organization is an island unto itself. All organizations -- large or
small, business or non-profit --operate within constructs and environments that simultaneously stimulate and constrain their structure and actions. These environments are said to be comprised of other organizations such as:
customers, suppliers, competitors, and regulatory agencies, and the like. In addition, each encompasses divergent strategic, political, economic, social, cultural and technological forces that affect organizations. To keep pace
with and delineate subjective though surprisingly discerning ideology germane to a corporations strategy, a number of economists have waxed philosophic in their perspective works. This essay examines some of
the prevalent theories purported by economics professors, Oliver Williamson, Gary Hamel / C.K. Prahalad, and Michael Porter. Additionally, by way of example an active corporation (Microsoft) is cited with
the view of critically analyzing its strategies as they pertain to specific theories. Pivotal Economists In 1991 Oliver E. Williams broke ground in his critically acclaimed paper, Comparative
Economic Organization: The Analysis of Discrete Structural Alternatives that appeared in Administrative Science Quarterly. (Later, in 1994 the Institute for Contemporary Studies published it in a Williamson collection.)
In it he outlined what he believed to be the influence of TCE (transaction costs economics) on an organizations strategy. Williamson has devoted much of his career to specifying the
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