Alternative Theories of the Firm

The Theory of the Firm is commonly viewed as axiomatic by business school academicians. Considerations in spanning organizational structures, their boundaries and roles, as well as business strategies all relate to the Theory of the Firm. The dominant Theory of the Firm poses that markets act perfectly to maximize the well- being of society when people act to maximize the personal utility of their individual purchases and firms act to maximize financial returns to their owners.

However, burgeoning evidence and discourse across the scientific and policy communities suggests that the economic, social, and environmental consequences of accepting and applying this theory in the organization of business and society threaten the survival of the human species, among countless others. This book provides the latest thinking on alternatives to the Theory of the Firm as cornerstone of managerial decision-making. Authors explore and elucidate theories that help us understand a firm differently and suggest alternatives to the Theory of the Firm.

This book will be of value to researchers, academics, practitioners, and students interested in leadership, strategic management, and the intersection of corporate interests and the well-being of the society.

Michael Pirson is William Loschert Professor of Management, Global Sustainability, and Social Entrepreneurship at Fordham University and Research Fellow at Harvard University, USA.

David M. Wasieleski is Albert P. Viragh Professor of Business Ethics in the Palumbo-Donahue School of Business and Executive Director of the Institute for Ethics in Business at Duquesne University, USA.

Erica L. Steckler is Associate Professor of Management and Co-Director of the Donahue Center for Business Ethics and Social Responsibility in the Manning School of Business at the University of Massachusetts Lowell..