Evolutionary Theory of the Firm

Evolutionary Theory of the Firm

A theory that no one business model or strategy ensures a company's survival over the long term. According to the evolutionary theory, success or failure is determined by how well the business model fits the needs of the present moment. Sheer chance also plays a large role.
References in periodicals archive ?
A most comprehensive summary of transaction costs, principal-agent, and evolutionary theory of the firm can scarcely be found elsewhere.
These findings are in line with the evolutionary theory of the firm outlined previously.
The evolutionary theory of the firm is explored also in Randall Bausor's essay.