ABSTRACT
There is certainly a limit to the size of the enterprise beyond which it tends to become unmanageable. In the giant enterprise top management can hardly find out what goes on. Its decisions take far too long to filter down. The nature of industrial production creates the need for a management and sets its function–just as the nature of the State creates the need for a government–underlies management's responsibility for its own succession. The main reason was the need for a management of the highly complex organization and technology necessary to build in the Gothic style. The cost of such a top management might cripple the smaller business but it can easily be borne by the larger one. Even more relevant to functioning management is the fact that the small enterprise cannot easily work systematically on the supply of successors.
