According to Kathleen (1989) agency theory has developed developed along 2 lines. One of them is positivist have focused almost exclussively on the special case of the principal-agent relationship between owners and manargers of large public corporations. Second one is Principal-agent line. It concerned with the general theory of principal (cheif, owner so on)- agent (managers, mediater, negotiator so on) relationship, theory that can be applied to employeer- employee, lawyer- client, buyer- suppliers.
From those two line of approach , positive agency approach can be applied future work . If there is only one company still principal- agent problem can be emerge. Principal should be shareholders or owners, and agents are managers. The problem and conflict between this 2 part should be solved immediately. So I think that this theory very helpful for our future work. SHould learn it….
