Economics at your fingertips  

Tight and Loose Coupling in Organizations

Romans Pancs

The B.E. Journal of Theoretical Economics, 2017, vol. 17, issue 1, 33

Abstract: Some industries have consumers who seek novelty and firms that innovate vigorously and whose organizational structure is loosely coupled, or easily adaptable. Other industries have consumers who take comfort in the traditional and firms that innovate little and whose organizational structure is tightly coupled, or not easily adaptable. This paper proposes a model that explains why the described features tend to covary across industries. The model highlights the pervasiveness of equilibrium inefficiency (innovation can be insufficient or excessive) and the nonmonotonicity of welfare in the equilibrium amount of innovation.

Keywords: loose coupling; tight coupling; demand for novelty (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from

DOI: 10.1515/bejte-2015-0081

Access Statistics for this article

The B.E. Journal of Theoretical Economics is currently edited by Burkhard C. Schipper

More articles in The B.E. Journal of Theoretical Economics from De Gruyter
Bibliographic data for series maintained by Peter Golla ().

Page updated 2023-06-15
Handle: RePEc:bpj:bejtec:v:17:y:2017:i:1:p:33:n:6