Balancing control and chaos: cybernetics, fraud, and modern organizations with Dan Davies
Complex Systems with Patrick McKenzie (patio11)
Internal Markets Are Rarely True Markets
In capitalism, while prices serve as important signals in competitive markets between firms, internal trade within firms typically lacks true market dynamics. Most organizations rely on a command and control model, guided by hierarchical structures rather than market-driven principles. The exception exists primarily in firms like Amazon, which incorporate some internal market mechanisms for capital allocation. Ultimately, the predominant approach in firms is not market-based but rather organized through directives and structured communication.
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