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Expanding the explanatory power of agency theory for the knowledge economy

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  • Nilmini Wickramasinghe

Abstract

Researchers have questioned whether the new knowledge economy is fundamentally different from the social and economic contexts of the 19th and 20th centuries (Webster, 2002). Some argue that classic economic theories still apply with equal relevance; while others claim that we are in the midst of profound changes and thus, new perspectives are needed (Whittaker, 1995; Wigand et al., 1997). This paper examines how one such classic theory, agency theory (developed by Jensen and Meckling, 1973), can be expanded to explain emerging practices in today's knowledge economy and, in so doing, explicates some apparent paradoxes with respect to ERP systems and KM (knowledge management).

Suggested Citation

  • Nilmini Wickramasinghe, 2006. "Expanding the explanatory power of agency theory for the knowledge economy," International Journal of Management and Enterprise Development, Inderscience Enterprises Ltd, vol. 3(5), pages 510-520.
    • Handle: RePEc:ids:ijmede:v:3:y:2006:i:5:p:510-520
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    Cited by:

    1. Samuel Y. Todd & Tamara A. Crook & Tony Lachowetz, 2013. "Agency Theory Explanations of Self-Serving Sales Forecast Inaccuracies," Business and Management Research, Business and Management Research, Sciedu Press, vol. 2(2), pages 13-21, June.

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