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The Theory of Social and Economic Organization.

Why this mattered

TBD

Abstract

The Theory of Social and Economic Organization grew out of Weber’s philosophical inquiries into the nature of authority and how it is transmitted. He identified three types of authority: the charismatic, based on the individual qualities of a leader and reverence for them among his or her followers; the traditional, based on custom and usage; and the rational-legal, based on the rule of objective law.

  • enables → Separation of Ownership and Control — Weber's theory of bureaucratic authority enables the ownership-control question by framing managers as professional administrators distinct from owners.
  • cite ← Separation of Ownership and Control — Separation of Ownership and Control uses Weber's account of bureaucracy and authority to analyze control structures inside modern corporations.

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