# kaal:claim:3227933-026

**Claim.** A particular problem with old world centralized, hierarchical organizations is that their decision-making processes become slow, cumbersome and costly, which is a competitive problem for incumbents in a fast-paced consumer-driven economy.

**Type.** failure  **Support.** argued

**Holds when.**

- fast-paced, consumer-driven economy

**Source quote.**

> A particular problem with "old world" centralized, hierarchical organizations is that decision-making processes can become slow, cumbersome and costly.

**From.** Mark Fenwick, Wulf A. Kaal, Erik P.M. Vermeulen, *Why 'Blockchain' Will Disrupt Corporate Organizations* (2018), 6. Escaping a “Centralized World”, page 14

**Cite as.** Mark Fenwick, Wulf A. Kaal, Erik P.M. Vermeulen, Why 'Blockchain' Will Disrupt Corporate Organizations (2018). SSRN: https://ssrn.com/abstract=3227933

**Verify.** sha256 of source PDF `a9e9660c4dc25a2202f1da4e762f5885256e05f68c53ca51942f5833a7a4c108` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Fenwick%20et%20al.%20-%202018%20-%20Why%20%27Blockchain%27%20Will%20Disrupt%20Corporate%20Organizations.pdf

**Failure mode.** Slow centralized decision-making  (family: rule-obsolescence-and-ossification)

**Topics.** institutional-design

**Keywords.** decision-making, incumbents, hierarchy, competitive-disadvantage

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.