He deals with this kind of question explicitly. Humans have evolved to be able to work efficiently at tribal sizes - this is Dunbar's Number. So yeah, you'll se

He deals with this kind of question explicitly. Humans have evolved to be able to work efficiently at tribal sizes - this is Dunbar's Number. So yeah, you'll see organization around this size doing very well. But as companies grow beyond that, you'll see them turn into the hulking dinosaurs that can no longer operate agilely. Hayek talks about the error of trying to use in government that in-built but limited capacity for managing relationships at too great a scale.