By Arthur Wassenberg
This e-book isn't just approximately company ideas and stratagems: it's concerning the 'Faustian' pact among genuine and fiscal powers, ruled via the foundations of 'minimizing the prices to oneself of enforcing losses upon others'. it's greater than approximately constrained rationality and irrationality: it truly is approximately limitless rationalisations and restricted responsibility.
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Extra resources for Capitalist Discipline: On the Orchestration of Corporate Games
Exercising control over demand and supply means substituting planning for the market. According to Galbraith there are three ways of replacing the market by the “authoritative determination” of prices and of quantities to be sold or bought. : 39). Second, markets can also be controlled by reducing or eliminating the independence of action available to those to whom the planning unit sells or from whom it buys. Large and technology-intensive firms always have the possibility of supplying a material or component to themselves.
Those who remember the “Lisbon agenda” (adopted in 2000 for a ten-year period, on Europe’s (renewed) intention to boost its “competitiveness”), the Roundtable’s 1993-appeal sounds strikingly familiar. So do the underlying calls for “concerted action”. However, how reliable are charters and agreements based on hyper-mobile (rather than hypercompetitive) allies? And what about the scope and duration of the “mandate” that the Roundtable exerts over its members when it comes to solid commitments? An intriguing facet of the Roundtable’s assessment of Europe’s strengths and weaknesses is the disparity in concreteness between the claims addressed at political leaders and the European Commission versus the counter-performance offered in return by the captains of industry themselves.
In our grammar, the old discipline, by trying to overcome the competition trap through annexation – and oligarchization, drifted imperceptibly into the competence trap. When pushed too long and on a too massive scale, annexation and oligarchization lead to institutional autism, which, in turn, leads to a loss of “responsiveness” for organizations and regimes alike, that is, to institutional sclerosis. At the meta- or regime level the phenomenon has been referred to as the competitive or adaptive “weakness of strong ties” (Granovetter, 1973).