Internal Cooperation and Competitive Success: The Case of the U.S. Steel Minimill Sector

Suzanne Konzelmann Smith

Cambridge Journal of Economics, 1995, vol. 19, issue 2, 277-304

Abstract: Since the 1960s, American steel minimills have captured markets once dominated by the American integrated steel producers. This article argues that the minimills' competitive success is due in part to their ability to cultivate and sustain flexible and participative internal labor market and industrial relations systems. They have accomplished this by reducing internal sources of conflict among plant-level workers and managers through the absence, reduction, or elimination of factors contributing to their vulnerability to higher-level decisions. The sector's market success has permitted the institutionalization of chosen strategies and structures, and reinforced the virtues circle of convergent interests, internal accord, organizational responsiveness, and product market success. (c) 1995 Academic Press, Ltd. Copyright 1995 by Oxford University Press.

Date: 1995
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