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30 Oct 2018Working Paper Summaries

Design Rules, Volume 2: How Technology Shapes Organizations: Chapter 6 The Value Structure of Technologies, Part 1: Mapping Functional Relationships

by Carliss Y. Baldwin

Technology shapes organizations by influencing the search for value—something that someone perceives as a good—in an economy made up of free agents. To understand the organizations that will develop and implement particular technologies we must first understand the technologies’ value structure, including three main issues that make it difficult to value technologies.