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Volumn , Issue 3, 1998, Pages 90-111

Organizing knowledge

(2)  Brown, John Seely a   Duguid, Paul a  

a NONE

Author keywords

[No Author keywords available]

Indexed keywords


EID: 0032368071     PISSN: 00081256     EISSN: None     Source Type: Journal    
DOI: 10.2307/41165945     Document Type: Article
Times cited : (1059)

References (81)
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    • The classic statement on transaction costs is R.H. Coase, "The Nature of the Firm," Economica (1937), pp. 386-405. For more recent explorations, see, for example, Oliver Williamson and Sidney G. Winter, eds., The Nature of the Firm: Origins, Evolution, and Development (New York, NY: Oxford University Press, 1993). For relations between technology and transaction costs, see, for example, Thomas W. Malone, JoAnne Yates, and Robert Benjamin, "Electronic Markets and Electronic Hierarchies," Communications of the ACM (1987), pp. 484-497 or Claudio U. Ciborra, Teams, Markets, and Systems: Business Innovation and Information Technology (New York, NY: Cambridge University Press, 1993). For variants of arguments about "the fading boundaries of the firm," see vol. 152 of Journal of Institutional and Theoretical Economics (1966). It is interesting to note that Williamson has retreated a little from the totalizing view of transaction costs reflected in many of these works and acknowledged the "complementary perspectives" that an understanding of "embeddedness" contributes. See Oliver Williamson, "Transaction Cost Economics: How It Works; Where It is Headed," Business and Public Policy Working Paper, BPP 67, University of California, Institute of Management, Innovation, and Organization, Berkeley, CA, October 1997.
    • (1987) Communications of the ACM , pp. 484-497
    • Malone, T.W.1    Yates, J.2    Benjamin, R.3
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    • New York, NY: Cambridge University Press
    • The classic statement on transaction costs is R.H. Coase, "The Nature of the Firm," Economica (1937), pp. 386-405. For more recent explorations, see, for example, Oliver Williamson and Sidney G. Winter, eds., The Nature of the Firm: Origins, Evolution, and Development (New York, NY: Oxford University Press, 1993). For relations between technology and transaction costs, see, for example, Thomas W. Malone, JoAnne Yates, and Robert Benjamin, "Electronic Markets and Electronic Hierarchies," Communications of the ACM (1987), pp. 484-497 or Claudio U. Ciborra, Teams, Markets, and Systems: Business Innovation and Information Technology (New York, NY: Cambridge University Press, 1993). For variants of arguments about "the fading boundaries of the firm," see vol. 152 of Journal of Institutional and Theoretical Economics (1966). It is interesting to note that Williamson has retreated a little from the totalizing view of transaction costs reflected in many of these works and acknowledged the "complementary perspectives" that an understanding of "embeddedness" contributes. See Oliver Williamson, "Transaction Cost Economics: How It Works; Where It is Headed," Business and Public Policy Working Paper, BPP 67, University of California, Institute of Management, Innovation, and Organization, Berkeley, CA, October 1997.
    • (1993) Teams, Markets, and Systems: Business Innovation and Information Technology
    • Ciborra, C.U.1
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    • 0040105942 scopus 로고
    • The fading boundaries of the firm
    • The classic statement on transaction costs is R.H. Coase, "The Nature of the Firm," Economica (1937), pp. 386-405. For more recent explorations, see, for example, Oliver Williamson and Sidney G. Winter, eds., The Nature of the Firm: Origins, Evolution, and Development (New York, NY: Oxford University Press, 1993). For relations between technology and transaction costs, see, for example, Thomas W. Malone, JoAnne Yates, and Robert Benjamin, "Electronic Markets and Electronic Hierarchies," Communications of the ACM (1987), pp. 484-497 or Claudio U. Ciborra, Teams, Markets, and Systems: Business Innovation and Information Technology (New York, NY: Cambridge University Press, 1993). For variants of arguments about "the fading boundaries of the firm," see vol. 152 of Journal of Institutional and Theoretical Economics (1966). It is interesting to note that Williamson has retreated a little from the totalizing view of transaction costs reflected in many of these works and acknowledged the "complementary perspectives" that an understanding of "embeddedness" contributes. See Oliver Williamson, "Transaction Cost Economics: How It Works; Where It is Headed," Business and Public Policy Working Paper, BPP 67, University of California, Institute of Management, Innovation, and Organization, Berkeley, CA, October 1997.
    • (1966) Journal of Institutional and Theoretical Economics , vol.152
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    • 0004268381 scopus 로고    scopus 로고
    • Business and Public Policy Working Paper, BPP 67, University of California, Institute of Management, Innovation, and Organization, Berkeley, CA, October
    • The classic statement on transaction costs is R.H. Coase, "The Nature of the Firm," Economica (1937), pp. 386-405. For more recent explorations, see, for example, Oliver Williamson and Sidney G. Winter, eds., The Nature of the Firm: Origins, Evolution, and Development (New York, NY: Oxford University Press, 1993). For relations between technology and transaction costs, see, for example, Thomas W. Malone, JoAnne Yates, and Robert Benjamin, "Electronic Markets and Electronic Hierarchies," Communications of the ACM (1987), pp. 484-497 or Claudio U. Ciborra, Teams, Markets, and Systems: Business Innovation and Information Technology (New York, NY: Cambridge University Press, 1993). For variants of arguments about "the fading boundaries of the firm," see vol. 152 of Journal of Institutional and Theoretical Economics (1966). It is interesting to note that Williamson has retreated a little from the totalizing view of transaction costs reflected in many of these works and acknowledged the "complementary perspectives" that an understanding of "embeddedness" contributes. See Oliver Williamson, "Transaction Cost Economics: How It Works; Where It is Headed," Business and Public Policy Working Paper, BPP 67, University of California, Institute of Management, Innovation, and Organization, Berkeley, CA, October 1997.
    • (1997) Transaction Cost Economics: How It Works; Where It Is Headed
    • Williamson, O.1
  • 7
    • 0003684137 scopus 로고
    • New York, NY: Oxford University Press
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1995) The Knowledge-creating Company: How Japanese Companies Create the Dynamics of Innovation
    • Nonaka, I.1    Takeuchi, H.2
  • 8
    • 0030496995 scopus 로고    scopus 로고
    • What firms do? Coordination, identity, and learning
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1996) Organization Science , vol.7 , Issue.5 , pp. 502-518
    • Kogut, B.1    Zander, U.2
  • 9
    • 2942649403 scopus 로고    scopus 로고
    • Toward a knowledge-based theory of the firm
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1996) Strategic Management Journal , vol.17 , pp. 109-122
    • Grant, R.M.1
  • 10
    • 0344594026 scopus 로고
    • Making knowledge the basis of a dynamic theory of the firm
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1966) Strategic Management Journal , vol.17 , pp. 45-62
    • Spender, J.-C.1
  • 11
    • 0003811353 scopus 로고
    • Cambridge, MA: Harvard Business School Press
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1995) Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation
    • Leonard-Barton, D.1
  • 12
    • 0030493750 scopus 로고    scopus 로고
    • Knowledge-based approaches to the theory of the firm: Some critical comments
    • See, for example, Ikujiro Nonaka and Hiotaka Takeuchi, The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation (New York, NY: Oxford University Press, 1995); Bruce Kogut and Udo Zander, "What Firms Do? Coordination, Identity, and Learning," Organization Science, 7/5 (1996): 502-518; R. M. Grant, "Toward a Knowledge-Based Theory of the Firm," Strategic Management Journal, 17 (1996): 109-122; J.-C. Spender, "Making Knowledge the Basis of a Dynamic Theory of the Firm," Strategic Management Journal, 17 (1966): 45-62; Dorothy Leonard-Barton, Wellsprings of Knowledge: Building and Sustaining the Sources of Innovation (Cambridge, MA: Harvard Business School Press, 1995). For a dissenting voice, see Nicolai J. Foss, "Knowledge-Based Approaches to the Theory of the Firm: Some Critical Comments," Organization Science, 7/5 (1996): 470-476. It might be argued that knowledge production simply imposes another transaction cost, so the knowledge-based view is merely part of the transaction cost argument. We argue, however, that some important knowledge is only produced through social, nonmarket relations. Thus the transaction cost for individuals in market relations would be infinite. To embrace infinite transaction costs as part of the transaction cost argument trivializes the very important contribution of transaction cost analysis to understanding organizations.
    • (1996) Organization Science , vol.7 , Issue.5 , pp. 470-476
    • Foss, N.J.1
  • 13
    • 0003398064 scopus 로고
    • New York, NY: Cambridge University Press
    • For "communities of practice" see Jean Lave and Etienne Wenger, Situated Learning: Legitimate Peripheral Participation (New York, NY: Cambridge University Press, 1993); John Seely Brown and Paul Duguid, "Organizational Learning and Communities of Practice: Towards a Unified View of Working, Learning, and Innovation," Organization Science, 2 (1991): 40-57.
    • (1993) Situated Learning: Legitimate Peripheral Participation
    • Lave, J.1    Wenger, E.2
  • 14
    • 0002671639 scopus 로고
    • Organizational learning and communities of practice: Towards a unified view of working, learning, and innovation
    • For "communities of practice" see Jean Lave and Etienne Wenger, Situated Learning: Legitimate Peripheral Participation (New York, NY: Cambridge University Press, 1993); John Seely Brown and Paul Duguid, "Organizational Learning and Communities of Practice: Towards a Unified View of Working, Learning, and Innovation," Organization Science, 2 (1991): 40-57.
    • (1991) Organization Science , vol.2 , pp. 40-57
    • Brown, J.S.1    Duguid, P.2
  • 16
    • 0039514190 scopus 로고    scopus 로고
    • in preparation
    • It is important, however, not to elide information, Casson's main topic, and knowledge, though we do not expand on this problem here. See John Seely Brown and Paul Duguid, "The Knowledge Continuum," in preparation.
    • The Knowledge Continuum
    • Brown, J.S.1    Duguid, P.2
  • 18
    • 0004172666 scopus 로고
    • London: Hutchinson
    • The distinction between know-what and know-how and the notion of "dispositional knowledge" comes from Gilbert Ryle, The Concept of Mind (London: Hutchinson 1954). Know-how may appear to be little more than so-called "physical" skills, such as catching a ball or riding a bicycle. It is much more, however. For any student to "know" Newton's second law in any meaningful way requires having the skill to deploy the law in an analysis of colliding objects This sort of knowledge, a disposition as well as a possession, emerges when called upon. It is evident, for instance, in such complex skills as talking, writing, and thinking or in negotiating with clients, overseeing employees, controlling production processes, developing strategy, conducting scientific experiments, fixing complex machines, cooking a meal, or writing computer programs. For the importance of dispositional knowledge, see S. Noam Cook and John Seely Brown, "Bridging Epistemologies: The Generative Dance between Organizational Knowledge and Organizational Knowing," Organization Science (forthcoming).
    • (1954) The Concept of Mind
    • Ryle, G.1
  • 19
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    • Bridging epistemologies: The generative dance between organizational knowledge and organizational knowing
    • forthcoming
    • The distinction between know-what and know-how and the notion of "dispositional knowledge" comes from Gilbert Ryle, The Concept of Mind (London: Hutchinson 1954). Know-how may appear to be little more than so-called "physical" skills, such as catching a ball or riding a bicycle. It is much more, however. For any student to "know" Newton's second law in any meaningful way requires having the skill to deploy the law in an analysis of colliding objects This sort of knowledge, a disposition as well as a possession, emerges when called upon. It is evident, for instance, in such complex skills as talking, writing, and thinking or in negotiating with clients, overseeing employees, controlling production processes, developing strategy, conducting scientific experiments, fixing complex machines, cooking a meal, or writing computer programs. For the importance of dispositional knowledge, see S. Noam Cook and John Seely Brown, "Bridging Epistemologies: The Generative Dance between Organizational Knowledge and Organizational Knowing," Organization Science (forthcoming).
    • Organization Science
    • Cook, S.N.1    Brown, J.S.2
  • 20
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    • As the CEO of Chaparral Steel told Leonard-Barton, "He can tour competitors through the plant, show them almost 'everything and we will be giving away nothing because they can't take it home with them.'" Leonard-Barton, op. cit.,
    • Organization Science
    • Leonard-Barton1
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    • See, for example, George Gilder, Life After Television (New York, NY: W.W. Norton, 1994) for disintermediation; Alvin Toffler, The Third Wave (New York, NY: Morrow, 1980) for demassification; Nicholas Negroponte, Being Digital (New York, NY: Alfred A. Knopf, 1996) for disaggregation.
    • (1994) Life after Television
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    • See, for example, George Gilder, Life After Television (New York, NY: W.W. Norton, 1994) for disintermediation; Alvin Toffler, The Third Wave (New York, NY: Morrow, 1980) for demassification; Nicholas Negroponte, Being Digital (New York, NY: Alfred A. Knopf, 1996) for disaggregation.
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    • Friedrich Hayek, The Fatal Conceit: The Errors of Socialism (Chicago, IL: University of Chicago Press, 1988). See, also, Friedrich Hayek, "The Use of Knowledge in Society," American Economic Review, 35 (September 1945): 519-30); Kenneth J. Arrow, The Limits of Organization (New York, NY: W.W. Norton, 1974).
    • (1988) The Fatal Conceit: The Errors of Socialism
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    • September
    • Friedrich Hayek, The Fatal Conceit: The Errors of Socialism (Chicago, IL: University of Chicago Press, 1988). See, also, Friedrich Hayek, "The Use of Knowledge in Society," American Economic Review, 35 (September 1945): 519-30); Kenneth J. Arrow, The Limits of Organization (New York, NY: W.W. Norton, 1974).
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    • Friedrich Hayek, The Fatal Conceit: The Errors of Socialism (Chicago, IL: University of Chicago Press, 1988). See, also, Friedrich Hayek, "The Use of Knowledge in Society," American Economic Review, 35 (September 1945): 519-30); Kenneth J. Arrow, The Limits of Organization (New York, NY: W.W. Norton, 1974).
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    • See, for example, Kevin Kelly, Out of Control: The New Biology of Machines, Social Systems, and the Economic World (New York, NY: Addison-Wesley, 1994) for bees; Andy Clark Being There: Putting Brain, Body, and World Together Again (Cambridge, MA: MIT Press 1997) for termites; Richard Dawkins, The Blind Watchmaker (New York, NY: W.W. Norton, 1986) and Sherry Turkle, Life On the Screen: Identity in the Age of the Internet (New York, NY: Simon & Schuster, 1996) for artificial life.
    • (1997) Being There: Putting Brain, Body, and World Together Again
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    • See, for example, Kevin Kelly, Out of Control: The New Biology of Machines, Social Systems, and the Economic World (New York, NY: Addison-Wesley, 1994) for bees; Andy Clark Being There: Putting Brain, Body, and World Together Again (Cambridge, MA: MIT Press 1997) for termites; Richard Dawkins, The Blind Watchmaker (New York, NY: W.W. Norton, 1986) and Sherry Turkle, Life On the Screen: Identity in the Age of the Internet (New York, NY: Simon & Schuster, 1996) for artificial life.
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    • Dawkins, R.1
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    • See, for example, Kevin Kelly, Out of Control: The New Biology of Machines, Social Systems, and the Economic World (New York, NY: Addison-Wesley, 1994) for bees; Andy Clark Being There: Putting Brain, Body, and World Together Again (Cambridge, MA: MIT Press 1997) for termites; Richard Dawkins, The Blind Watchmaker (New York, NY: W.W. Norton, 1986) and Sherry Turkle, Life On the Screen: Identity in the Age of the Internet (New York, NY: Simon & Schuster, 1996) for artificial life.
    • (1996) Life on the Screen: Identity in the Age of the Internet
    • Turkle, S.1
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    • Raymond Williams, The Long Revolution (New York, NY: Columbia University Press, 1961).
    • (1961) The Long Revolution
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    • in preparation
    • Francis Fukuyama, "Social Networks and Digital Networks," in preparation. For an analysis of the complex relationship between communications technology and institutions see the classic study Harold Innis, The Bias of Communication (Toronto: University of Toronto Press, 1951).
    • Social Networks and Digital Networks
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    • Economic action and social structure: The problem of embeddedness
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    • Social capital, structural holes and the formation of an industry network
    • See Mark Granovetter, "Economic Action and Social Structure: The Problem of Embeddedness," American Journal of Sociology, 91 (1985): 481-510; Gordon Walker, Bruce Kogut, and Weijian Shan, "Social Capital, Structural Holes and the Formation of an Industry Network," Organization Science, 8 (1997): 109-112; Martin Kenney and Urs von Burg, "Bringing Technology Back In: Explaining the Divergence between Silicon Valley and Route 128," in preparation; AnnaLee Saxenian, Regional Advantage: Culture and Competition in Silicon Valley and Route 128 (Cambridge, MA: Harvard University Press, 1996); Gernot Grabher, The Embedded Firm: On the Socioeconomics of Industrial Networks (London: Routledge, 1993).
    • (1997) Organization Science , vol.8 , pp. 109-112
    • Walker, G.1    Kogut, B.2    Shan, W.3
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