Industry Change Through Vertical Disintegration: How and Why Markets Emerged in Mortgage Banking
通过对抵押贷款银行价值链的纵向分析，揭示垂直解体如何通过专业化收益和交易收益推动中间市场出现，改变行业竞争格局。
By providing a theoretical framework that explains how and why vertical dis-integration happens, this inductive longitudinal analysis of the mortgage banking value chain sheds light on one of the least studied aspects of industry evolution. I find that gains from specialization set off a process of intra-organizational partitioning, which leads to coordination simplification along parts of the value chain; and gains from trade foster inter-firm co-specialization, which leads to information standardization. As a result of standardized information and simplified coordination, new intermediate markets emerge, even in the presence of transactional risks. This breaks up the value chain, allowing new types of industry participants to emerge, thus, changing the competitive landscape.