IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/23180.html
   My bibliography  Save this paper

Edith Penrose’s ‘The Theory of the Growth of the Firm’ Fifty Years Later

Author

Listed:
  • Pitelis, Christos

Abstract

This is an earlier draft for the introduction to the book "The theory of the growth of the firm" published by Oxford Press, 4th edition, 2009.

Suggested Citation

  • Pitelis, Christos, 2009. "Edith Penrose’s ‘The Theory of the Growth of the Firm’ Fifty Years Later," MPRA Paper 23180, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:23180
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/23180/1/MPRA_paper_23180.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-795, December.
    3. Hart, Oliver & Moore, John, 1990. "Property Rights and the Nature of the Firm," Journal of Political Economy, University of Chicago Press, vol. 98(6), pages 1119-1158, December.
    4. Christos Pitelis, 2005. "Edith Penrose, organisational economics and business strategy: an assessment and extension," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 26(2), pages 67-82.
    5. Penrose, Perran & Pitelis, Christos, 1999. "Edith Elura Tilton Penrose: Life, Contribution and Influence," Contributions to Political Economy, Cambridge Political Economy Society, vol. 18(0), pages 3-22.
    6. Shen, T Y, 1970. "Economies of Scale, Penrose Effect, Growth of Plants and Their Size Distribution," Journal of Political Economy, University of Chicago Press, vol. 78(4), pages 702-716, Part I Ju.
    7. Hymer, Stephen, 1970. "The Efficiency (Contradictions) of Multinational Corporations," American Economic Review, American Economic Association, vol. 60(2), pages 441-448, May.
    8. Oliver E. Williamson & Scott E Masten (ed.), . "The Economics of Transaction Costs," Books, Edward Elgar Publishing, number 1652.
    9. Canice Prendergast, 1999. "The Provision of Incentives in Firms," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 7-63, March.
    10. Demsetz, Harold, 1973. "Industry Structure, Market Rivalry, and Public Policy," Journal of Law and Economics, University of Chicago Press, vol. 16(1), pages 1-9, April.
    11. Paul Krugman, 1986. "Strategic Trade Policy and the New International Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262610450, December.
    12. David J. Teece, 2008. "Technology Transfer By Multinational Firms: The Resource Cost Of Transferring Technological Know-How," World Scientific Book Chapters, in: The Transfer And Licensing Of Know-How And Intellectual Property Understanding the Multinational Enterprise in the Modern World, chapter 1, pages 1-22, World Scientific Publishing Co. Pte. Ltd..
    13. Peter J. Buckley & Mark Casson, 1991. "The Future of the Multinational Enterprise," Palgrave Macmillan Books, Palgrave Macmillan, edition 0, number 978-1-349-21204-0.
    14. Christos Pitelis, 2007. "Edith Penrose and a learning-based perspective on the MNE and OLI," Management International Review, Springer, vol. 47(2), pages 207-219, March.
    15. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    16. Grossman, Sanford J & Hart, Oliver D, 1986. "The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 691-719, August.
    17. Loredana Volpe & Daniele Biferali, 2008. "Edith Tilton Penrose, The Theory of the Growth of the Firm," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 12(1), pages 119-125, March.
    18. Hart, Oliver D, 1988. "Incomplete Contracts and the Theory of the Firm," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 4(1), pages 119-139, Spring.
    19. Peter J. Buckley & Mark Casson, 2010. "Edith Penrose’s Theory of the Growth of the Firm and the Strategic Management of Multinational Enterprises," Palgrave Macmillan Books, in: The Multinational Enterprise Revisited, chapter 11, pages 277-300, Palgrave Macmillan.
    20. Teece, David J., 2006. "Reflections on the Hymer thesis and the multinational enterprise," International Business Review, Elsevier, vol. 15(2), pages 124-139, April.
    21. John Dunning, 2001. "The Eclectic (OLI) Paradigm of International Production: Past, Present and Future," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(2), pages 173-190.
    22. Christos N. Pitelis & Anastasia N. Pseiridis, 1999. "Transaction costs versus resource value?," Journal of Economic Studies, Emerald Group Publishing, vol. 26(3), pages 221-240, September.
    23. Bruce Kogut & Udo Zander, 1993. "Knowledge of the Firm and the Evolutionary Theory of the Multinational Corporation," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 24(4), pages 625-645, December.
    24. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    25. Foss, Nicolai J, 1999. "Edith Penrose, Economics and Strategic Management," Contributions to Political Economy, Cambridge Political Economy Society, vol. 18(0), pages 87-104.
    26. Machlup, Fritz & Penrose, Edith, 1950. "The Patent Controversy in the Nineteenth Century," The Journal of Economic History, Cambridge University Press, vol. 10(1), pages 1-29, May.
    27. B. L. Johns & W. P. Hogan, 1961. "A Theory Of The Growth Of The Firm," The Economic Record, The Economic Society of Australia, vol. 37(78), pages 171-182, June.
    28. Pitelis, Christos N., 2004. "Edith Penrose and the resource-based view of (international) business strategy," International Business Review, Elsevier, vol. 13(4), pages 523-532, August.
    29. Jean Tirole, 1988. "The Theory of Industrial Organization," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200716, December.
    30. Oliver E. Williamson, 1999. "Strategy research: governance and competence perspectives," Strategic Management Journal, Wiley Blackwell, vol. 20(12), pages 1087-1108, December.
    31. John H Dunning & Christos N Pitelis, 2008. "Stephen Hymer's contribution to international business scholarship: an assessment and extension," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(1), pages 167-176, January.
    32. F. A. Hayek, 2005. "The Use of Knowledge in Society," World Scientific Book Chapters, in: Guang-Zhen Sun (ed.), Readings In The Economics Of The Division Of Labor The Classical Tradition, chapter 25, pages 270-284, World Scientific Publishing Co. Pte. Ltd..
    33. Alfred D. Chandler, 1969. "Strategy and Structure: Chapters in the History of the American Industrial Enterprise," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262530090, December.
    34. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    35. David J. Teece, 2003. "Towards an Economic Theory of the Multiproduct Firm," World Scientific Book Chapters, in: Essays In Technology Management And Policy Selected Papers of David J Teece, chapter 15, pages 419-446, World Scientific Publishing Co. Pte. Ltd..
    36. Williamson, Oliver E, 1981. "The Modern Corporation: Origins, Evolution, Attributes," Journal of Economic Literature, American Economic Association, vol. 19(4), pages 1537-1568, December.
    37. Penrose, Edith, 1973. "International Patenting and the Less-Developed Countries," Economic Journal, Royal Economic Society, vol. 83(331), pages 768-786, September.
    38. Young, Allyn A., 1928. "Increasing Returns and Economic Progress," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 38, pages 527-542.
    39. ANITA M. McGAHAN & MICHAEL E. PORTER, 1997. "How Much Does Industry Matter, Really?," Strategic Management Journal, Wiley Blackwell, vol. 18(S1), pages 15-30, July.
    40. Richardson, G B, 1999. "Mrs Penrose and Neoclassical Theory," Contributions to Political Economy, Cambridge Political Economy Society, vol. 18(0), pages 23-30.
    41. John H Dunning, 1988. "The Eclectic Paradigm of International Production: A Restatement and Some Possible Extensions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 19(1), pages 1-31, March.
    42. Pitelis, Christos & Panagopoulosi, Andreas, 2009. "Innovation Governance for Value Capture -The Problem and a Proposed Simple Model-based Solution," Papers DYNREG42, Economic and Social Research Institute (ESRI).
    43. Richardson, G B, 1972. "The Organisation of Industry," Economic Journal, Royal Economic Society, vol. 82(327), pages 883-896, September.
    44. Pitelis, Christos & Teece, David, 2009. "The (new) nature and essence of the firm," MPRA Paper 24317, University Library of Munich, Germany.
    45. A Verbeke, 2003. "The evolutionary view of the MNE and the future of internalization theory," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 34(6), pages 498-504, November.
    46. Uzawa, H, 1969. "Time Preference and the Penrose Effect in a Two-Class Model of Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 77(4), pages 628-652, Part II, .
    47. Christos N. Pitelis, 2009. "The Sustainable Competitive Advantage and Catching-up of Nations: FDI, Clusters and the Liability (Asset) of Smallness," Management International Review, Springer, vol. 49(1), pages 95-120, February.
    48. Holmstrom, Bengt, 1999. "The Firm as a Subeconomy," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 15(1), pages 74-102, April.
    49. Herbert A. Simon, 1991. "Organizations and Markets," Journal of Economic Perspectives, American Economic Association, vol. 5(2), pages 25-44, Spring.
    50. Pitelis, Christos (ed.), 2002. "The Growth of the Firm: The Legacy of Edith Penrose," OUP Catalogue, Oxford University Press, number 9780199248520.
    51. Marris, Robin, 1999. "Edith Penrose and Economics," Contributions to Political Economy, Cambridge Political Economy Society, vol. 18(0), pages 47-65.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yu. A. Polunin & A. Yu. Yudanov, 2020. "Growth Rates of Companies and Filling of a Market Niche," Studies on Russian Economic Development, Springer, vol. 31(2), pages 202-211, March.
    2. Christos N. Pitelis & David J. Teece, 2010. "Cross-border market co-creation, dynamic capabilities and the entrepreneurial theory of the multinational enterprise," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 19(4), pages 1247-1270, August.
    3. Martha Torres-Barreto & Marianela Luzardo Briceño & Mileidy Alvarez-Melgarejo, 2018. "The R&D funding scenario: Can capabilities foster product innovation of firms? El escenario de financiación de I + D: ¿pueden las capacidades fomentar la innovación de productos de las empresas? [E," Working Papers hal-01867121, HAL.
    4. Malen, Joel & Vaaler, Paul M., 2017. "Organizational slack, national institutions and innovation effort around the world," Journal of World Business, Elsevier, vol. 52(6), pages 782-797.
    5. Richard K. Blundel, 2015. "Beyond strategy: A critical review of Penrose's 'single argument' and its implications for economic development," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 22(1), pages 97-122, February.
    6. Li, Yafei & Mbanyele, William & Sun, Jinping, 2022. "Managerial R&D hands-on experience, state ownership, and corporate innovation," China Economic Review, Elsevier, vol. 72(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pitelis, Christos & Teece, David, 2009. "The (new) nature and essence of the firm," MPRA Paper 24317, University Library of Munich, Germany.
    2. Christos N. Pitelis, 2011. "Foreign Direct Investment and Economic Integration," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume III, chapter 1, Edward Elgar Publishing.
    3. Christos N. Pitelis, 2007. "A Behavioral Resource-Based View of the Firm: The Synergy of Cyert and March (1963) and Penrose (1959)," Organization Science, INFORMS, vol. 18(3), pages 478-490, June.
    4. Christos N. Pitelis & David J. Teece, 2018. "The New MNE: ‘Orchestration’ Theory as Envelope of ‘Internalisation’ Theory," Management International Review, Springer, vol. 58(4), pages 523-539, August.
    5. Christos Pitelis, 2007. "Edith Penrose and a learning-based perspective on the MNE and OLI," Management International Review, Springer, vol. 47(2), pages 207-219, March.
    6. Christos N. Pitelis & David J. Teece, 2010. "Cross-border market co-creation, dynamic capabilities and the entrepreneurial theory of the multinational enterprise," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 19(4), pages 1247-1270, August.
    7. Kim, Jongwook & Mahoney, Joseph T., 2008. "A Strategic Theory of the Firm as a Nexus of Incomplete Contracts: A Property Rights Approach," Working Papers 08-0108, University of Illinois at Urbana-Champaign, College of Business.
    8. Christos N. Pitelis & Pellumb Kelmendi, 2011. "European Industrial Policy: Perspectives, Trends and a Sustainability-focused New Framework," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume II, chapter 2, Edward Elgar Publishing.
    9. Danchi Tan & Weichieh Su & Joseph T. Mahoney & Yasemin Kor, 2020. "A review of research on the growth of multinational enterprises: A Penrosean lens," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 498-537, June.
    10. Teece, David J., 2010. "Technological Innovation and the Theory of the Firm," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 679-730, Elsevier.
    11. Abdulrahman Al–Aali & David J. Teece, 2014. "International Entrepreneurship and the Theory of the (Long–Lived) International Firm: A Capabilities Perspective," Entrepreneurship Theory and Practice, , vol. 38(1), pages 95-116, January.
    12. Mie Augier & David J. Teece, 2007. "Dynamic capabilities and multinational enterprise: Penrosean insights and omissions," Management International Review, Springer, vol. 47(2), pages 175-192, March.
    13. Christos Pitelis, 2013. "Towards a More ‘Ethically Correct’ Governance for Economic Sustainability," Journal of Business Ethics, Springer, vol. 118(3), pages 655-665, December.
    14. Jongwook Kim & Joseph T. Mahoney, 2005. "Property rights theory, transaction costs theory, and agency theory: an organizational economics approach to strategic management," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 26(4), pages 223-242.
    15. Christos Pitelis, 2005. "Edith Penrose, organisational economics and business strategy: an assessment and extension," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 26(2), pages 67-82.
    16. Ilgaz Arikan & Ipek Koparan & Asli M Arikan & Oded Shenkar, 2022. "Dynamic capabilities and internationalization of authentic firms: Role of heritage assets, administrative heritage, and signature processes," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(4), pages 601-635, June.
    17. Jongwook Kim & Joseph T. Mahoney, 2002. "Resource-based and property rights perspectives on value creation: the case of oil field unitization," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 23(4-5), pages 225-245.
    18. Chris N. Pitelis, 2022. "Dynamic capabilities, the new multinational enterprise and business model innovation: A de/re-constructive commentary," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(4), pages 741-753, June.
    19. Jones, Geoffrey & Pitelis, Christos, 2015. "Entrepreneurial Imagination and a Demand and Supply-side Perspective on the MNE and Cross-border Organization," Journal of International Management, Elsevier, vol. 21(4), pages 309-321.
    20. Pitelis, Christos, 2007. "A note on Cyert and March (1963) and Penrose (1959): A case for synergy," MPRA Paper 23939, University Library of Munich, Germany.

    More about this item

    Keywords

    Penrose; Theory of the Firm; Growth;
    All these keywords.

    JEL classification:

    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:23180. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.