Taking the point of departure in sociological and anthropological theory, the paper analyzes two works on organizations in Africa and Latin America suggesting that organizational behaviour on both continents reflects the process of incomplete differentiation typical of modernizing societies. The paper argues that due to the incomplete differentiation of the formal organizations from the private sphere of employees, in-group/out-group morals are allowed to influence not only the informal but also the formal organization resulting in ambiguous combinations of traditional norms and formal structures.
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