Effective governance within inter-firm relationships : the role of individual social norms

The focus of the paper is on the process of developing adequate governance tools in vertical cooperative relationships. The challenges of high-dependency relationships are inherent in the risk of opportunism and high transaction costs to safeguard investments specific to the relation. We outline the properties of a governance tool that may prove both cost-efficient and serve as a trust-generating platform for even more complex interaction, i.e. governance by individual social norms We elaborate on the social-cultural foundation for norm-based governance and highlight the capabilities of the managers responsible for developing this governance form. Managerial implications as well as recommendations for future research are presented.

Til publikasjon: https://hdl.handle.net/11250/3368773 | Publiseringsår: 2000 | Tidsskrift: