Relationship between government and public sector universities in the perspective of agency theory: a brief review
by Zaheer Abbas; Abd Rahman Bin Ahmad; Muhammad Saeed Shahbaz; Muhammad Mujtaba Asad
International Journal of Services and Operations Management (IJSOM), Vol. 40, No. 2, 2021

Abstract: The aim of this study is to analyse the relationship between government and public sector universities in the perspective of agency theory and propose a theoretical framework that will highlight the various aspects of the principle and agents. In this perspective government plays a main role as principal while public sector universities are as agent and this relationship is known as agency theory. This relationship normally has two major issues such as goal conflicts and information asymmetries. Correspondingly, in this review paper, systematic approach and content analysis approach have been adopted. The reviewed literature revealed that the government provides performance based grants to the public sector universities so government have pursued some expectations from public sector universities like accountability and transparency of the funds. Similarly, it has been highlighted that to verify the relationship between government and public sector universities in the context of agency theory because there is a sheer need to conduct empirical research studies.

Online publication date: Mon, 18-Oct-2021

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