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Models in a behavioral theory of the firm
Author(s) -
Cyert R. M.,
Feigenbaum E. A.,
March J. G.
Publication year - 1959
Publication title -
behavioral science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.371
H-Index - 45
eISSN - 1099-1743
pISSN - 0005-7940
DOI - 10.1002/bs.3830040202
Subject(s) - duopoly , process (computing) , theory of the firm , management science , computer science , economics , microeconomics , business , cournot competition , operating system
How do business organizations make decisions? What process do they follow in deciding how much to produce? And at what price? A behavioral theory of the firm is here explored. Using a specific type of duopoly, a model is written explicity as a computer program to deal with the complex theory implicit in the process by which businesses make decisions. This model highlights our need for more empirical observations of organizational decision‐making.