The Human Firm challenges mainstream neo-classical perspectives on the firm. John F. Tomer argues that in an age of globalisation and rapid technological change, understanding business behaviour and government policy towards business requires an appreciation of the firm's human dimension. This book integrates economic analysis with sociological, psychological, managerial, ethical and other non-economic dimensions, enabling the reader to appreciate broad aspects of business behaviour which are critical to understanding the new economic age we live in. John F. Tomer's socio-economic theory of the firm explains why some firms are adapting well to new economic realities and some are not. He explains why some firms adopt socially responsible ways and high performance organization, and some do not. This book focuses on what it means for firms to achieve their full potential contribution to society, and the typical gap between actual and potential performance. The neo-classical theory of the firm, whilst useful for understanding markets and allocative efficiency, largely ignores the human dimension.
The Human Firm provides a fuller picture, integrating the concepts of organizational capital and human capital with the theory of the firm.