Industrial revolutions and the evolution of the firm's organization: an historical perspective

Par Judit Kapás


The aim of this paper is to contribute to a better understanding of the firm through an explanation for its evolution, as part of the co-evolution of social and physical technologies. It is argued that since the emergence of the capitalist firm (factory) in the British Industrial Revolution this co-evolutionary process has brought about two major mutant-forms, namely the M-form which emerged from the beginning of the Second Industrial Revolution and the decentralized-disintegrated organization (project-based form) born in the ICT revolution. This paper analyzes the rise of the succeeding mutant-forms in the co-evolutionary process framework and also highlights the nature of the differences between them.
JEL Codes: D20, O30, P12


  • firm organization
  • technological change
  • evolution
  • industrial revolution
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