Understanding Quasi-Integration

Abstract

Cooperative strategies and interorganizational linkages, or quasi-integration. in vertical relationships are important concerns to strategy researchers and practitioners. In this paper, we present a model that integrates insights from transaction cost theory (an economic construct), environmental uncertainty (an organization theory construct), and resource-based theory (a strategic management construct) to explain the determinants of quasi-integration. This extends prior work which relied exclusively on transaction cost economics and organization theory to explain and predict optimal organizational form.