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The Jim Rutt Show cover image

EP 235 Robin Hanson on Beware Cultural Drift

The Jim Rutt Show

NOTE

Exploring Corporate Culture, Acquisitions, and Agency Risk in Innovation

Big companies are now acquiring smaller companies for innovation as they often lack the capacity for invention internally. This shift in corporate culture is causing a rapid change within organizations, influenced by internal dynamics rather than management or technology. The concept of agency risk, which degrades what the founding team has built, becomes more pronounced as companies evolve. Founding cultures are seen as exceptional in contrast to the challenges that arise as organizations grow and change.

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