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This paper examines the relationship between cooperative work and the wider organizational context. The purpose of the exploration is not to contribute to organizational theory in general, but to critique the transaction cost approach to organizational theory from the point of view of cooperative work. The paper posits that the formal conception of organization—organization conceived of in terms of “common ownership”—is inadequate as a conceptual foundation for embedding CSCW systems in a wider organizational context. The design of CSCW systems for real-world application must move beyond the bounds of organizational forms conceived of in terms of “common ownership.”