Swedish Managerial Capitalism: Did it Ever Become Ascendant?

Abstract

In this paper, the hypothesis that managerial capitalism has become the dominant form of company control in industrial societies is tested on several of the largest Swedish enterprises. The conclusion is that, while professional managers were influential during the creation of large companies, they have lost part of their power to large owners who have been able to create their own power base in banking and through extensive networks in Swedish industrial society. This enables them to make independent decisions and control the recruitment of managerial leaders. Managerial capitalism exists, but it has not become dominant.