Beschreibung
Seminar paper from the year 2013 in the subject Economics - Other, grade: 2,0, University of Kassel, language: English, abstract: This paper asks whether firms are markets and examines the difference and similarities of these dynamics depending on the result it goes beyond the theory of a firm. It appeals a self- organizing rule that may result in an alternative organization model to the capitalist enterprises controlled by a central authority. Furthermore, it focuses to general definition of the alternative model Spontaneous order and enlightens this concept through the different views of economists like David Hume, Adam Smith and Friedrich von Hayek. In order to examine the feasibility and permanence of the Spontaneous order, the paper finds the building blocks of this model by showing some theories based on real life examples, followed by management of firms with definition of vertical and horizontal organization. Additionally, the structure of vertical and horizontal organization will be compared.
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