Abstract
Contrary to the opinion that formal contracts are hard to apply within the firm given the existence of fiat or line of commands, in practice firms often use formal contracts to govern internal transactions. Building on the current governance literature, high-powered incentive literature, and the multi-task environment literature, we provide both practical and theoretical foundations for internal formal contracts and further articulate the boundary conditions when it will be more likely to be adopted by firms.
| Original language | English |
|---|---|
| Publication status | Published - 21 Sept 2021 |
| Event | Strategic Management Society 41st Annual Conference: Imagination and Inspiration: Creating Strategy Breakthroughs in a Discordant World - Toronto, Canada Duration: 18 Sept 2021 → 21 Sept 2021 https://www.strategicmanagement.net/virtual-toronto/overview/welcome https://www.strategicmanagement.net/virtual-toronto/tools/session-details?sessionId=2003 |
Conference
| Conference | Strategic Management Society 41st Annual Conference |
|---|---|
| Country/Territory | Canada |
| City | Toronto |
| Period | 18/09/21 → 21/09/21 |
| Internet address |