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Shifting Boundaries of the FirmJapanese Company - Japanese Labour$
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Mari Sako

Print publication date: 2006

Print ISBN-13: 9780199268160

Published to Oxford Scholarship Online: September 2007

DOI: 10.1093/acprof:oso/9780199268160.001.0001

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Strategy, Structure, and Institutions of Management and Labour

Strategy, Structure, and Institutions of Management and Labour

(p.8) 1 Strategy, Structure, and Institutions of Management and Labour
Shifting Boundaries of the Firm

Mari Sako (Contributor Webpage)

Oxford University Press

This chapter reviews the existing literature on modern corporations and unions in Japan. It shows that the prevailing paradigm is insufficient to account for firm and union boundaries. It posits an analytical framework, called the Strategy-Structure-Institutions (SSI) Framework, to rectify deficiencies in the prevailing paradigm. In this framework, corporations and enterprise unions choose their respective preferred organizational boundary. When there is a consensus over the boundaries, the actual boundary coincides with the desired choice. But when they are contested, relative power is important in leading to a specific imposed or bargained boundary. The chapter concludes by noting that unions and firms differ even within the same sector as a result of strategic choice and the accumulation of different capabilities over time.

Keywords:   enterprise unions, strategic choice, organizational boundary, Japanese firms

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