Global Journal of Management and Business Research, B: Economics and Commerce, Volume 23 Issue 3

flexible. Thus transactions with the specificity of Low assets will be operationalized by markets, those with medium asset specificity by hybrids and those with high asset specificity by firm. Hybrid The identity of the parties is of greater importance and is supported by neoclassical contractual law, which is more adaptable, thus favoring conflict resolution. Uncertainty It does not matter when asset specificity is low. Parties can absorb unexpected changes in the environment changing partners. Asset specifics and uncertainty are at intermediate levels. Hierarchy It has a greater adaptive property as it can resolve conflicts through sanctions. Frequency Paid by those who carry out the transactions which makes it cost effective only for recurring transactions. Asset specificity and uncertainty are high. Source: Adapted from Williamson (1991) and Hennart (2006) Table 2: Attributes of Governance Structures Attributes Governance Structures Market Hybrids Hierarchies Incentives Strong Moderates Absent Administrative Controls Absent Moderates Strong Autonomous Adaptation Strong Moderate Absent Coordinated Adaptation Absent Moderate Strong Source: Adapted from Williamson (1996) and Fiani (2011) Table 3 will then summarize in greater detail the governance structure underlying Fiani's (2011) understandings. Table 3: Governance Structure in the understanding of Fiani (2011) Types of Governance Specialized: assets with a high degree of specialization Non-Specialized: no need for specific assets Asset Specificity Source Location: given the location, the asset's value is conditioned to it Physical Attributes: Individualized in relation to others Dedicated Assets: The investment is tied to a specific future demand Human assets: learning by doing and teamwork General Types of Governance Market: ideal for transactions without specific assets, in addition to not having specific rules for certain transactions, as there are no administrative controls Hierarchy: presence of specific assets, decisions take place in a hierarchy scenario, presence of strong administrative controls, absent incentives and higher costs 19 Global Journal of Management and Business Research Volume XXIII Issue III Version I Year 2023 ( ) B © 2023 Global Journals Study of Artisanal Açaí Beater under the Light of Institutionalist Theory: An Integrative Review It is therefore summarized that hierarchical governance is preferable when asset specificity and uncertainty are high; market governance when asset specificity is low and uncertainty is high. For hybrids when asset specificities and uncertainty are at intermediate levels (HENNART, 2006). iv. Understandings of Fiani (2011) on Williamson's version: modern approach to institutions and governance structures The governance structure is composed of a set of rules which provide the foundation for transactions to develop, specifying, in this way, which agents are involved in a transaction, object and objective and what kind of changes there may be between agents in the transaction. development of transactions (FIANI, 2011). Table 2 intends to describe, from the point of view of Fiani (2011), the main characteristics of the three governance models pointed out by Williamson (1991).