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Leading Manufacturing Sectors in the USA and Japan During 1899-1937 and Organizational Innovations: Embeddedness for Corporate Strategy

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Abstract

Organizational innovations (OIs) such as scientific management, integration of mass production and mass distribution, and particular types of corporate governance played a preponderant role in the economic development of the USA during the period 1880s to 1920s. To provide some further evidence of this role, historical data analyzed by Kuznets (1971) are scrutinized in this paper by calculating total factor productivity (TFP) for manufacturing sectors in the USA, and the impact of OIs on leading sectors is briefly explored in the light of these TFPs. Thus this paper provides quantitative evidence that leading sectors are linked with OIs during the examined period. In the light of this evidence the following proposition is made: leading sectors and OIs can be considered as a process of ‘embeddedness’ (Granovetter, 1985) for corporate strategy, governance, and leadership.

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  • Sanidas, Elias, 2002. "Leading Manufacturing Sectors in the USA and Japan During 1899-1937 and Organizational Innovations: Embeddedness for Corporate Strategy," Economics Working Papers wp02-20, School of Economics, University of Wollongong, NSW, Australia.
    • Handle: RePEc:uow:depec1:wp02-20
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    1. Sanidas, E., 2002. "Organizational Innovations of Firms from the 1850s in the USA and Japan," Economics Working Papers wp02-06, School of Economics, University of Wollongong, NSW, Australia.
    2. David, Paul A, 1990. "The Dynamo and the Computer: An Historical Perspective on the Modern Productivity Paradox," American Economic Review, American Economic Association, vol. 80(2), pages 355-361, May.
    3. Sanidas, E., 2001. "The Successful Imitation of the Japanese Lean Production System by American Firms: Impact on American Economic Growth," Economics Working Papers wp01-02, School of Economics, University of Wollongong, NSW, Australia.
    4. repec:fth:harver:1487 is not listed on IDEAS
    5. Nyland,Chris, 1989. "Reduced Worktime and the Management of Production," Cambridge Books, Cambridge University Press, number 9780521345477, November.
    6. Sanidas, Elias, 2002. "Manufacturing Sectoral Growth in the USA and Japan: Relevance to SMEs, Organizational Innovations, and Recent Economic Growth," Economics Working Papers wp02-09, School of Economics, University of Wollongong, NSW, Australia.
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    Keywords

    manufacturing sectors; USA; Japan; embeddedness; corporate strategy;
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