Department of Economics and Business Economics

Plural Governance: A modified transaction cost model

Research output: Working paperResearch

Plural governance is a form of governance where a firm both makes and buys similar goods or services. Despite a widespread use of plural governance there are no transaction cost models of how plural governance affects performance. This paper reviews the literature about plural forms and proposes a model relating transaction cost and resource-based variables to the cost of the plural form. The model is then used to analyze when the plural form is efficient compared to alternative governance structures. We also use the model to discuss the strength of three plural form synergies.
Original languageEnglish
Place of publicationPaper presented at the Workshop: New Developments in Organization Theory - Plural Forms of Organization, CES Paris, April 8, 2014.
Number of pages43
Publication statusPublished - 2014

    Research areas

  • Plural form, Make-and-buy, Bi-sourcing, Concurrent sourcing, Plural governance

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