Agency Problems in Early Chartered Companies: The Case of the Hudson’s Bay Company

Carlos, Ann M.; Nicholas, Stephen

doi:10.1017/s0022050700037852

Cited by 91 publications

(35 citation statements)

References 7 publications

(1 reference statement)

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“…Of course, these problems can occur within firms as well. Carlos (1994) and Carlos and Nicholas (1990) document how private trading on the part of agents caused difficulties for the Hudson's Bay and Royal African Companies, and how the Hudson's Bay Company was able to create an internal structure and company culture to mitigate the moral hazard and attendant losses. On the other hand, the Royal African Company went bankrupt.…”

Section: Internalizationmentioning

confidence: 99%

The Boundaries of Multinational Enterprises and the Theory of International Trade

Markusen¹

1995

Journal of Economic Perspectives

1,298

708

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T he so-called "new trade theory" and more recently the literature on "geography and trade" have greatly enriched economists' understanding of trade. In the new trade theory, trade and gains from trade can arise independently of any pattern of comparative advantage (as traditionally understood) as firms exploit economies of scale and pursue strategies of product differentiation in an imperfectly competitive environment. The literature on geography and trade is a natural extension of this line of research, focussing on how industry agglomeration and regional differentiation can arise endogenously as a consequence of transport costs, market sizes, and the trade policy regime.These newer streams of literature are very limited in their treatment of firms. In these models, a firm is generally synonymous with a plant or production facility; that is, a firm is an independent organization that produces one good in one location. Multiplant and multiproduct production, whether horizontal or vertical, are generally excluded from the analysis. This is potentially troubling. After all, industries characterized by scale economies and imperfect competition are often dominated by multinationals. As a result, the policy and normative analysis that comes out of the new trade theory may be significantly off base. For example, conclusions of the "strategic trade policy" literature are fundamentally bound up with the notion of clearly defined national firms competing via trade with the national champions of other

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Section: Internalizationmentioning

confidence: 99%

The Boundaries of Multinational Enterprises and the Theory of International Trade

Markusen¹

1995

Journal of Economic Perspectives

1,298

708

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“…Первая концессия была предоставлена в 1554 году инженеру Адаму де Крапону на сооружение и эксплуатацию Южного канала, построенного в XVII веке и соединившего побережье Атлантики со Средиземным морем [9]. Южный канал в этом случае выступил как первый крупный концессионный объект.…”

Section: Introductionunclassified

Применение Зарубежного Опыта Для Совершенствования Региональной Концессионной Политики

Немчанинова¹

2015

Ross. Pred.

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“…Several papers study the internal management of the EIC and other trading companies (e.g. Carlos and Nicholas (1990), Hejeebu (2005)). …”

Section: Introductionmentioning

confidence: 99%

Contracts, Hold-Up, and Exports: Textiles and Opium in Colonial India

Kranton

Swamy

2008

American Economic Review

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Trade and export, it is argued, spur economic growth. This paper studies the microeconomics of exporting. We build a heuristic model of transactions between exporters and producers and relate it to East India Company operations in colonial Bengal. Our model and the historical record stress two difficulties: the exporter and its agents might not uphold pricing agreements, and producers might not honor sales contracts. The model shows when procurement succeeds or fails, highlighting the tension between these two hold-up problems. We analyze several cases including the East India Company's textile venture, the famous Opium Monopoly, and present-day contract farming.

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Agency Problems in Early Chartered Companies: The Case of the Hudson’s Bay Company

Cited by 91 publications

References 7 publications

The Boundaries of Multinational Enterprises and the Theory of International Trade

The Boundaries of Multinational Enterprises and the Theory of International Trade

Применение Зарубежного Опыта Для Совершенствования Региональной Концессионной Политики

Contracts, Hold-Up, and Exports: Textiles and Opium in Colonial India

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