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Non-Contractual Relations in Business: A Preliminary Study
American Sociological Review
Vol. 28, No. 1 (Feb., 1963), pp. 55-67
Published by: American Sociological Association
Stable URL: http://www.jstor.org/stable/2090458
Page Count: 13
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Preliminary findings indicate that businessmen often fail to plan exchange relationships completely, and seldom use legal sanctions to adjust these relationships or to settle disputes. Planning and legal sanctions are often unnecessary and may have undesirable consequences. Transactions are planned and legal sanctions are used when the gains are thought to outweigh the costs. The power to decide whether the gains from using contract outweigh the costs will be held by individuals having different occupational roles. The occupational role influences the decision that is made.
American Sociological Review © 1963 American Sociological Association