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Peng and Heath (1996)

Management > Comparative Management > Lectures > Independent Research > Peng and Heath > Institutions > Formal institutions > Informal institutions > Growth strategy > Limitations

 

Limitations

There are limitations with the network growth strategy:

  • Making such an informal thing transparent and formal will require an expansion of the firm's information processing capabilities
  • Managers may not be willing to make routine what they have been using discreetly for years
  • If there is a diversion of interests in an unstable and weakly regulated environment then opportunism can occur

 Copyright Heledd Straker 2006

Go placidly amid the noise and haste