institutional theory Flashcards
institutional theory
organaizations change following processes that make them converge homogeneously
3 mechanisms of isomorphic change
coercive-mimetic-normative
coercive change
small org adapt to ways of big org and laws
mimetic change
follow others because of uncertainty and ambuigity
normative change
professionalization, accept common practices to be seen as legitimate
deephouse
firms need to be different and the same finding a balance is hard. by differentiating they reduce competition. by conforming they increase legitimacy
iron cage
org become trapped in rigid structures and routines, institutional isomorphism can contribute to this
theory of strategic balance
org need to differentiate for competitive advantage but not too much to lose legitimacy.