44
function of internal dynamics of organizations including interests, values,
power
dependencies and capacities.
54
A line of studies focuses on the concept of “institutional entrepreneurship” to
address institutional change. Institutional entrepreneurs are actors who envision new
institutions or transform existing institutions.
55
As the concept focuses on the actors, it
easily overemphasizes the heroic behaviors of specific actors, which result in ignoring
institutional pressures on those actors.
To address this weakness, Battilana, Leca, and
Boxenbaum suggested two enabling conditions for institutional entrepreneurship: field
characteristics, and actor’s social position.
56
Field characteristics include jolts and crises,
heterogeneity of institutional arrangements, and the degree of institutionalization. Jolts
and crises such as regulatory change, economic and
political crises, and social upheaval
encourage the introduction of new ideas by disturbing field-level consensus.
57
Heterogeneity could be enabling conditions, since they are likely to increase internal
conflicts. Seo and Creed also suggested that institutional contradictions such as efficiency
gaps, nonadaptability, interinstitutional incompatibility, and misaligned
interests increase
54
Greenwood, Royston, and Christopher R. Hinings. "Understanding radical
organizational change: Bringing together the old and the new institutionalism."
Academy
of Management Review
21, no. 4 (1996): 1022-1054.
55
DiMaggio, P. J. "Interest and Agency in Institutional Theory”, in
Institutional Patterns
and Organizations: Culture and Environment
, ed. Lynne G Zucker (MA: Ballinger,
1988). 3-22.
56
Battilana, Julie, Bernard Leca, and Eva Boxenbaum. "2 how actors change institutions:
towards a theory of institutional entrepreneurship."
The Academy of Management Annals
3, no. 1 (2009): 65-107.
57
Fligstein, Neil. "Social skill and institutional theory."
American Behavioral Scientist
40, no. 4 (1997): 397-405.; Greenwood, Royston, Roy Suddaby, and Christopher R.
Hinings. "Theorizing change: The role of professional associations in the transformation
of institutionalized fields."
Academy of Management Journal
45, no. 1 (2002): 58-80.
45
the likelihood of human praxis for institutional change.
58
Lower level of
institutionalization encourages the actions of institutional entrepreneurs
since it increases
uncertainty. Under increasing uncertainty, firms tend to find institutional solution since
they are not able to solve problems under existing conditions.
59
Under these enabling conditions, institutional entrepreneurs initiate divergent
institutional changes. The activities of institutional entrepreneurs
can be divided into two
categories of creating a vision for change, and mobilizing actors.
60
First, institutional
entrepreneurs develop and provide a vision for change to appeal audience. Greenwood
and colleagues suggested “theorization” as a key stage of institutional change, which
include framing current problems and justifying solutions.
61
Maguire and colleagues
found empirical evidence of theorization in emerging fields; they showed that
institutional entrepreneurs theorize new practices by organizing diverse arguments that
address different interests in the fields.
62
A new logic that best suit actors’ interests can be
a powerful tool of institutional change for institutional entrepreneurs.
63
58 Seo, Myeong-Gu, and WE Douglas Creed. "Institutional
contradictions, praxis, and
institutional change: A dialectical perspective."
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