The iron cage revisited: Institutional isomorphism and collective rationality in organizational fields (Chinese Translation)
01 Jan 2008-
TL;DR: In this article, the authors argue that rational actors make their organizations increasingly similar as they try to change them, and describe three isomorphic processes-coercive, mimetic, and normative.
Abstract: What makes organizations so similar? We contend that the engine of rationalization and bureaucratization has moved from the competitive marketplace to the state and the professions. Once a set of organizations emerges as a field, a paradox arises: rational actors make their organizations increasingly similar as they try to change them. We describe three isomorphic processes-coercive, mimetic, and normative—leading to this outcome. We then specify hypotheses about the impact of resource centralization and dependency, goal ambiguity and technical uncertainty, and professionalization and structuration on isomorphic change. Finally, we suggest implications for theories of organizations and social change.
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01 Jan 1994TL;DR: In this paper, a natural resource-based view of the firm is proposed, which is composed of three interconnected strategies: pollution prevention, product stewardship, and sustainable development, and each of these strategies are advanced for each of them regarding key resource requirements and their contributions to sustained competitive advantage.
Abstract: Historically, management theory has ignored the constraints imposed by the biophysical (natural) environment. Building upon resource-based theory, this article attempts to fill this void by proposing a natural-resource-based view of the firm—a theory of competitive advantage based upon the firm's relationship to the natural environment. It is composed of three interconnected strategies: pollution prevention, product stewardship, and sustainable development. Propositions are advanced for each of these strategies regarding key resource requirements and their contributions to sustained competitive advantage.
902 citations
Posted Content•
TL;DR: In this article, the authors reconceptualize the firm-level construct absorptive capacity as a learning dyad-level measure, relative absorptive capacities, and test the model using a sample of pharmaceutical-biotechnology R&D alliances.
Abstract: Much of the prior research on interorganizational learning has focused on the role of absorptive capacity, a firm's ability to value, assimilate, and utilize new external knowledge. However, this definition of the construct suggests that a firm has an equal capacity to learn from all other organizations. We reconceptualize the firm-level construct absorptive capacity as a learning dyad-level construct, relative absorptive capacity. One firm's ability to learn from another firm is argued to depend on the similarity of both firms' (1) knowledge bases, (2) organizational structures and compensation policies, and (3) dominant logics. We then test the model using a sample of pharmaceutical–biotechnology R&D alliances. As predicted, the similarity of the partners' basic knowledge, lower management formalization, research centralization, compensation practices, and research communities were positively related to interorganizational learning. The relative absorptive capacity measures are also shown to have greater explanatory power than the established measure of absorptive capacity, R&D spending. © 1998 John Wiley & Sons, Ltd.
335 citations
Posted Content•
TL;DR: This paper employs a difference-in-differences approach to compare premove versus postmove citation rates for the recruits' prior patents and corresponding matched-pair control patents and generates results that are robust to a more stringently matched control sample.
Abstract: When firms recruit inventors, they acquire not only the use of their skills but also enhanced access to their stock of ideas. But do hiring firms actually increase their use of the new recruits' prior inventions? Our estimates suggest they do, quite significantly in fact, by approximately 202% on average. However, this does not necessarily reflect widespread "learning-by-hiring." In fact, we estimate that a recruit's exploitation of her own prior ideas accounts for almost half of the above effect. Furthermore, although one might expect the recruit's role to diminish rapidly as her tacit knowledge diffuses across her new firm, our estimates indicate that her importance is surprisingly persistent over time. We base these findings on an empirical strategy that exploits the variation over time in hiring firms' citations to the recruits' pre-move patents. Specifically, we employ a difference-in-differences approach to compare pre-move versus post-move citation rates for the recruits' prior patents and the corresponding matched-pair control patents. Our methodology has three benefits compared to previous studies that also examine the link between labor mobility and knowledge flow: 1) it does not suffer from the upward bias inherent in the conventional cross-sectional comparison, 2) it generates results that are robust to a more stringently matched control sample, and 3) it enables a temporal examination of knowledge flow patterns.
322 citations
Journal Article•
TL;DR: In this article, the authors explore the relationship between CSR and government and highlight the varied role that the governments can play in order to promote CSR in the context of the wider national governance systems.
Abstract: Abstract This paper explores the relationship between corporate social responsibility (CSR) and government. CSR is often viewed as self-regulation, devoid of government. We attribute the scholarly neglect of the variety of CSR-government relations to the inadequate attention paid to the important differences in the way in which CSR has ‘travelled’ (or diffused), and has been mediated by the national governance systems, and the insufficient emphasis given to the role of the government (or government agency) in the CSR domain. We go on to identify a number of different types of CSR-government configurations, and by following empirically the CSR development trajectories in Western Europe and East Asia in a comparative historical perspective, we derive a set of propositions on the changing dynamics of CSR-government configurations. In particular, we highlight the varied role that the governments can play in order to promote CSR in the context of the wider national governance systems.
278 citations
01 Apr 2017
TL;DR: A review and synthesis of existing research on institutional voids, tracking the evolution of institutional void scholarship since the inception of the concept, can be found in this article, where the authors highlight four different strategies for responding to them: internalization, substitution, borrowing and signaling.
Abstract: textFor nearly two decades, scholars in international business and management have explored the implications of institutional voids for firm strategy and structure. Although institutional voids offer both opportunities and challenges, they have largely been associated with firms' efforts to avoid or mitigate institutional deficiencies and reduce the transaction costs associated with operating in settings subject to those institutional shortcomings. The goal of this special issue is to advance scholarship on this topic by (a) exploring institutional voids that are new to the literature, (b) providing a deeper assessment of the different ways in which firms respond to these voids, and (c) utilizing diverse disciplines and theoretical approaches to do so. In this introduction, we first review and synthesize extant research on institutional voids, tracking the evolution of institutional void scholarship since the inception of the concept (Khanna & Palepu, Journal of Economic Literature, 45(2):331-372, 1997) and providing our perspective on its contributions and limitations. We then summarize the contributions of the articles included in this special issue. In addition to identifying an array of institutional voids - economic and social - the articles highlight four different strategies for responding to them: internalization, substitution, borrowing and signaling. Drawing on these, we develop new insights on the implications of institutional voids for firm behavior. We conclude with suggestions for future research.
249 citations
References
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TL;DR: In this paper, the authors identify two archetypes in large Canadian law firms to show how ideas of professionalism and partnership are changing, due in part to shifts in discourses in the wider institutional context.
Abstract: This paper identifies two archetypes in large Canadian law firms to show how ideas of professionalism and partnership are changing, due in part to shifts in discourses in the wider institutional context. These changes in discourse themselves alter the interpretation of organizational structures and systems. This theme is explored through the concept of tracks and sedimentation. We explore the emergence of an organizational archetype that appears not to be secure, and which results in sedimented structures with competitive commit ments. The geological metaphor of sedimentation allows us to consider a dia lectical rather than a linear view of change. Case studies of two law firms show how one archetype is layered on the other, rather than representing a distinct transformation where one archetype sweeps away the residues of the other.
559 citations
TL;DR: It is found that legitimating accounts are intertwined with the construction of social identities, which serve to legitimate, on the one hand, an account maker's participation in the discourse and set of claims, and on the other, the involvement of proponents and crucial audiences.
Abstract: We empirically explore the legitimating accounts for and against policies precluding workplace discrimination against gay, lesbian, bisexual, and transgender people, focusing on how agents working at both the national level and within organizations use broader cultural accounts in building their legitimating accounts in local settings. The diffusion perspective in institutional theory has portrayed how agents import 'ready-to-wear' cultural accounts. In contrast, translation theory depicts how agents interpret and adapt cultural accounts as they fashion them into legitimating accounts for a local setting. An alternative would theorize accounts that are neither strictly borrowed nor idiosyncratically tailored. We advanced a third perspective, drawing on frame analysis as it is used in social movement theory. Framing theory attends to both the importance of cultural building blocks and the embedded ways in which agents relate to and shape systems of meaning and mobilize collective action to change social arrangements. We find that legitimating accounts are intertwined with the construction of social identities, which serve to legitimate, on the one hand, an account maker's participation in the discourse and set of claims, and on the other hand, the involvement of proponents and crucial audiences. We suggest that the mobilizing potential of legitimating accounts rests in part on their messages becoming 'autocommunicational,' so that listeners identify themselves with the message.
558 citations
Posted Content•
17 Jul 2000TL;DR: In this article, the authors discuss the risk of "concept stretching" and discuss the extension and intension of Europeanization, and propose a taxonomy to unpack the concept and organize empirical research.
Abstract: This paper discusses the concept of Europeanization in the light of recent research on the impact of the European Union politics and policy. Conceptual analysis is preliminary to empirical analysis. Accordingly, I examine the risk of ‘concept stretching’, discuss extension and intension of Europeanization, and propose a taxonomy to ‘unpack’ the concept and organize empirical research. The explanation of Europeanization is based on mechanisms and variables that need further exploration, but some preliminary results are presented here. Further research should concentrate on the policy level (and its interaction with macro-structures) and seek cross-fertilization with theoretical policy analysis and international relations, thus avoiding the risk of intellectual segregation. Kurzfassung Dieser Beitrag diskutiert das Konzept der Europaisierung im Lichte der Forschung zu den Einwirkungen der Entscheidungsprozesse und Politiken der Europaischen Union. Vor der empirischen Analyse muss die konzeptionelle stehen. Daher untersuche ich zunachst die Gefahr der konzeptionellen Uberdehnung, diskutiere Ausmas und Intensitat der Europaisierung und schlage eine Taxonomie vor, um das Konzept zu operationalisieren und empirische Forschung zu organisieren. Die Erklarung der Europaisierung fust auf Mechanismen und Variablen, die noch weiterer Klarung bedurfen, doch konnen bereits hier einige vorlaufige Ergebnisse vorgestellt werden. Weitere Forschung sollte sich auf die Ebene der Politiken (und deren Interaktion mit Makro-Strukturen) konzentrieren und auf gegenseitige Befruchtung mit theoretischer Politikanalyse und Internationalen Beziehungen abzielen, um so das Risiko einer intellektuellen Segregation zu vermeiden.
558 citations
TL;DR: In this paper, the authors revisited two concepts from institutional theory that enable an explicit identification of socio-technical regimes and more generally a specification of the "semi-coherence" of socio technical systems.
557 citations
TL;DR: In this paper, the authors investigate how new organizational forms are constituted as cultural objects and how the boundaries of an organizational form and its cultural contents are shaped by politics, showing that the frame that enjoys greater political support from the state, professions, and other organizations becomes ascendant.
Abstract: This article investigates how new organizational forms are constituted as cultural objects. Since new organizational forms jeopardize existing interests, institutional entrepreneurs recombine prevalent cultural materials to frame the form as necessary, valid, and appropriate. When rival entrepreneurs promote incompatible frames, the frame that enjoys greater political support from the state, professions, and other organizations becomes ascendant. Proponents of losing frames can exit, migrate, or convert to the ascendant frame. A case study of the creation of nonprofit consumer watchdog organizations demonstrates how the boundaries of an organizational form and its cultural contents are shaped by politics.
556 citations