Synergy and value in economic organisation
by Michael Filzmoser
International Journal of Economics and Business Research (IJEBR), Vol. 16, No. 1, 2018

Abstract: Conceptual literature and empirical studies suggest important interdependencies among activities as well as relations between the costs and the rent potential of activities and the governance mode applied. To account for benefits as well as costs of activities simultaneously this paper introduces a value perspective. Furthermore synergies and conflicts within bundles of activities are considered in the choice of appropriate governance modes for these activities. The concepts of synergy and value in of activity bundles are defined for economic organisation and illustrated by a numerical example. Based on the interpretation of the results we present possible applications and limitations of the proposed approach as well as opportunities for future research.

Online publication date: Wed, 25-Jul-2018

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