The Forming of Operative and Financial Strategies in Global Corporations
Chapter 1: Points of departure
This volume addresses a set of fundamental questions that too seldom has been raised in the socio-economic sciences: what are the main forces that decide the long-term (development) paths for large global corporations, and how and under what circumstances do those forces operate? Theoretically, this set of research questions will be approached by integrating corporate governance theory with certain other key academic subfields, thereby building one coherent socio-economic frame of reference. These other key fields include theories about human rationality, institutional theories, theories of the firm/corporation and theories about corporate paths. Basically, corporate governance theory focuses on drivers of co-ordinated action, addressing both the forces directly conducted by individual actors and the collectively (re)produced indirect ones (i.e. culture and institutions). For some decades (the late 20th century) scholars in Economics and Finance dominated the theoretical development in the corporate governance field. Thus, much of the research was based on rather idealistic assumptions regarding actors, corporations and settings, and it almost exclusively addressed listed corporations. In recent decades, however, that classic theoretical body has been both questioned and widened. Socio-economists and legal scholars have added realism and complexity to the theory building, thereby improving its empirical relevance and practical value for corporate actors. These researchers have also extended governance theory, so that it also embraces other kinds of organizations than just corporations.