The New Institutionalism in Strategic Management

Institutions are the "rules of the game" of economic behavior. They include the laws of states, the policies of organizations, and even the normative prescriptions of cultures. In this exciting volume, a diverse and accomplished group of scholars work to integrate theories of institutions with strategic management. The research they present examines a wide range of industrial contexts, ranging from American retailing at the end of the nineteenth century, to German tax law at the beginning of the twenty-first. Likewise, the chapters apply a diverse set of methods, including historical analysis. These varied research styles make the overall coherence of the authors' arguments more compelling. The key arguments go beyond the familiar position that institutions affect economic performance to describe a reciprocal relationship between institutions and organization strategy. Indeed, they suggest a broadening of the scope of strategy, to include efforts to influence the law, to reconfigure organizational boundaries, and to develop the legitimacy that enables strategies to be effective. Together, the chapters form an empirical and theoretical foundation for the increasing inclusion of institutions in strategic management. -- from back cover.