Abstract Based on existing research, we analyze the evolutional course of enterprise organization from family workshop to Modular Organization. We figure that capital increment, technology progress, market factors, transaction cost and new economic elements are the factors which impulse the evolution of organization, and technology progress is the key point. Value chain breaking up, the mechanism of competition and cooperation, custom participating in value distribution are the three manifestations of value release of modular organization, which is a challenger to traditional organizational theory based on transaction cost.
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Received: 17 May 2007
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Corresponding Authors:
Hao Bin
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