Big Business, Growth, and Decline

G. N. von Tunzelmann

The Journal of Economic History, 1999, vol. 59, issue 3, 787-794

Abstract: The downside of Chandler's success is that it has placed the large enterprise and the American economy on a pedestal, next to which eveiy other case appears a fumbling effort towards their apparent virtues. As some of the individual country studies in CAH show, well before even Chandler set out on this mission, American management consultants such as McKinsey were “exporting” the M-form company structure as their nostrum for all the world's business ills. As is shown in Fear's chapter and in several others, this involved a very simplistic diagnosis ofwhat those ills consisted of. The M-form conferred substantial advantages at a certain time and place in the evolution of industry, but it was no panacea. Furthermore, as I have suggested previously, its aetiology for comprehending its own prognoses was too shallow.

Date: 1999
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