TY - JOUR
T1 - Information policy
T2 - Shaping the value of agency relationships
AU - Jacobides, Michael G.
AU - Croson, David C.
PY - 2001/4
Y1 - 2001/4
N2 - We evaluate how changes in information use affect agency relationships. Information asymmetry redistributes value, but imperfect monitoring also encourages agents to take inefficient actions to influence this redistribution, thereby reducing joint agency value. Changing focus, from minimizing principals' costs to maximizing joint agency value, we argue that more monitoring is not always better, and we explore, through a six-sector framework, how more extensive use of information benefits (or damages) value creation and affects its distribution.
AB - We evaluate how changes in information use affect agency relationships. Information asymmetry redistributes value, but imperfect monitoring also encourages agents to take inefficient actions to influence this redistribution, thereby reducing joint agency value. Changing focus, from minimizing principals' costs to maximizing joint agency value, we argue that more monitoring is not always better, and we explore, through a six-sector framework, how more extensive use of information benefits (or damages) value creation and affects its distribution.
UR - http://www.scopus.com/inward/record.url?scp=0035531995&partnerID=8YFLogxK
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U2 - 10.5465/AMR.2001.4378014
DO - 10.5465/AMR.2001.4378014
M3 - Review article
AN - SCOPUS:0035531995
SN - 0363-7425
VL - 26
SP - 202
EP - 223
JO - Academy of Management Review
JF - Academy of Management Review
IS - 2
ER -