11 The Effects of Governments on Management and Organization

We review, integrate, and extend existing research on the effects of governments on organization and management. The literature that addresses the ways in which governing ideology, government capability and corruption influence independent organizations’ forms, strategies, and their participants’ behavior is widely scattered literature in organization theory, strategy, organizational behavior, economics, sociology and political science. This integration suggests a number of new theoretical propositions, suggesting several avenues of potentially profitable empirical research addressing the neglected influence of government on corporate strategies of government capture, entrepreneurial behavior, organizational growth and size, innovation, and managerial and employee organizational behavior. We illustrate its usefulness with an application to the role of organizations in national wealth generation and dispersion