methodology. There have been previous organizational theories based on academic disciplines such as biology, economics, and sociology. Statistico-organizational theory uniquely constructs a new organizational theory derived from ideas in statistics and psychometrics. The core idea is that errors known to occur in social science research must also occur when managers look at their data and seek to make inferences about cause and effect. Statistico-organizational theory uses methodological principles to predict when errors will occur and how great they will be. The book offers new theoretical propositions about organizational strategy and structure, human resource management, international business and franchising.

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