Ownership Matters: Empowering the Weak Boosts Collaboration and Productivity
The article discusses how businesses make decisions about working together and who gets ownership rights after they've already invested in something. Normally, they would use a common way to decide, but this research looks at using a different method called the generalized Nash bargaining solution. One big idea is that it's often not the best choice for both parties to jointly own something. Surprisingly, sometimes it's better for the less productive party to own it if they have less say in later discussions. This goes against what was previously thought in the standard way of thinking about business ownership.