IDEAS home Printed from https://ideas.repec.org/a/eee/intman/v22y2016i4p403-415.html
   My bibliography  Save this article

Legitimation Strategies for Clean Technology Entrepreneurs Facing Institutional Voids in Emerging Economies

Author

Listed:
  • de Lange, Deborah E.

Abstract

This research develops theory on the legitimation of firms in the context of new entrepreneurial clean technology ventures attempting to grow and develop in emerging economies where they face institutional voids. Where there are conditions of inadequate or non-existent energy infrastructure, this is often a symptom of a lack of market oriented institutions or institutional voids. This research clarifies how organizational fields, potentially supportive of new industries, form through local entrepreneurs' efforts at legitimating their start-ups. It proposes that organizational fields can substitute for the institutional voids so that the new firms can develop. Legitimation strategies that foster the supportive organizational fields include endorsements from notable local individuals such as an iconic local entrepreneur or a community leader, and by broader acknowledgement, gained through well recognized non-market partnerships and validation by exporting to wealthy markets.

Suggested Citation

  • de Lange, Deborah E., 2016. "Legitimation Strategies for Clean Technology Entrepreneurs Facing Institutional Voids in Emerging Economies," Journal of International Management, Elsevier, vol. 22(4), pages 403-415.
    • Handle: RePEc:eee:intman:v:22:y:2016:i:4:p:403-415
    DOI: 10.1016/j.intman.2016.06.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1075425316300072
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.intman.2016.06.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sharon A. Alvarez & Jay B. Barney, 2014. "Entrepreneurial Opportunities and Poverty Alleviation," Entrepreneurship Theory and Practice, , vol. 38(1), pages 159-184, January.
    2. Gary Dushnitsky & J. Myles Shaver, 2009. "Limitations to interorganizational knowledge acquisition: the paradox of corporate venture capital," Strategic Management Journal, Wiley Blackwell, vol. 30(10), pages 1045-1064, October.
    3. Haselip, James & Desgain, Denis & Mackenzie, Gordon, 2014. "Financing energy SMEs in Ghana and Senegal: Outcomes, barriers and prospects," Energy Policy, Elsevier, vol. 65(C), pages 369-376.
    4. David Ahlstrom & Garry D. Bruton, 2006. "Venture Capital in Emerging Economies: Networks and Institutional Change," Entrepreneurship Theory and Practice, , vol. 30(2), pages 299-320, March.
    5. Ahlstrom, David & Bruton, Garry D. & Yeh, Kuang S., 2008. "Private firms in China: Building legitimacy in an emerging economy," Journal of World Business, Elsevier, vol. 43(4), pages 385-399, October.
    6. Yasuhiro Yamakawa & Mike W. Peng & David L. Deeds, 2008. "What Drives New Ventures to Internationalize from Emerging to Developed Economies?," Entrepreneurship Theory and Practice, , vol. 32(1), pages 59-82, January.
    7. Mair, Johanna & Marti, Ignasi, 2009. "Entrepreneurship in and around institutional voids: A case study from Bangladesh," Journal of Business Venturing, Elsevier, vol. 24(5), pages 419-435, September.
    8. Richard T. Harrison & Colin M. Mason & Paul Girling, 2004. "Financial bootstrapping and venture development in the software industry," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 16(4), pages 307-333, July.
    9. Andy Lockett & Mike Wright, 2002. "Venture capital in Asia and the Pacific Rim," Venture Capital, Taylor & Francis Journals, vol. 4(3), pages 183-195, July.
    10. Magali Delmas & Michael W. Toffel, 2004. "Stakeholders and environmental management practices: an institutional framework," Business Strategy and the Environment, Wiley Blackwell, vol. 13(4), pages 209-222, July.
    11. Magali A. Delmas & Michael W. Toffel, 2008. "Organizational responses to environmental demands: opening the black box," Strategic Management Journal, Wiley Blackwell, vol. 29(10), pages 1027-1055, October.
    12. Dosi, Giovanni, 1993. "Technological paradigms and technological trajectories : A suggested interpretation of the determinants and directions of technical change," Research Policy, Elsevier, vol. 22(2), pages 102-103, April.
    13. Thiam, Djiby Racine, 2011. "An energy pricing scheme for the diffusion of decentralized renewable technology investment in developing countries," Energy Policy, Elsevier, vol. 39(7), pages 4284-4297, July.
    14. S.A. Lippman & R.P. Rumelt, 1982. "Uncertain Imitability: An Analysis of Interfirm Differences in Efficiency under Competition," Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 418-438, Autumn.
    15. Nicole E Coviello, 2006. "The network dynamics of international new ventures," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 37(5), pages 713-731, September.
    16. Kei Kajisa, 2007. "Personal Networks and Nonagricultural Employment: The Case of a Farming Village in the Philippines," Economic Development and Cultural Change, University of Chicago Press, vol. 55(4), pages 669-707, July.
    17. Phillips McDougall, Patricia & Shane, Scott & Oviatt, Benjamin M., 1994. "Explaining the formation of international new ventures: The limits of theories from international business research," Journal of Business Venturing, Elsevier, vol. 9(6), pages 469-487, November.
    18. Luo, Yadong & Sun, Jinyun & Wang, Stephanie Lu, 2011. "Comparative strategic management: An emergent field in international management," Journal of International Management, Elsevier, vol. 17(3), pages 190-200, September.
    19. Pauwels, Koen & Erguncu, Selin & Yildirim, Gokhan, 2013. "Winning hearts, minds and sales: How marketing communication enters the purchase process in emerging and mature markets," International Journal of Research in Marketing, Elsevier, vol. 30(1), pages 57-68.
    20. World Bank, 2007. "Warming Up to Trade? Harnessing International Trade to Support Climate Change Objectives," World Bank Publications - Reports 7749, The World Bank Group.
    21. Hayagreeva Rao, 1994. "The Social Construction of Reputation: Certification Contests, Legitimation, and the Survival of Organizations in the American Automobile Industry: 1895–1912," Strategic Management Journal, Wiley Blackwell, vol. 15(S1), pages 29-44, December.
    22. Alexander Dahlsrud, 2008. "How corporate social responsibility is defined: an analysis of 37 definitions," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 15(1), pages 1-13, January.
    23. Oliver, J. Eric, 2000. "City Size and Civic Involvement in Metropolitan America," American Political Science Review, Cambridge University Press, vol. 94(2), pages 361-373, June.
    24. Romeo Turcan, 2011. "Toward a theory of international new venture survivability," Journal of International Entrepreneurship, Springer, vol. 9(3), pages 213-232, September.
    25. Thomas L. Brewer, 2008. "Climate change technology transfer: a new paradigm and policy agenda," Climate Policy, Taylor & Francis Journals, vol. 8(5), pages 516-526, September.
    26. Sheila M. Puffer & Daniel J. McCarthy & Max Boisot, 2010. "Entrepreneurship in Russia and China: The Impact of Formal Institutional Voids," Entrepreneurship Theory and Practice, , vol. 34(3), pages 441-467, May.
    27. Dutz, Mark A. & Sharma, Siddharth, 2012. "Green growth, technology and innovation," Policy Research Working Paper Series 5932, The World Bank.
    28. Simon Teitel, 2006. "On semi-industrialized countries and the acquisition of advanced technological capabilities," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 15(2), pages 171-194.
    29. Ronald Steenblik, 2006. "Liberalisation of Trade in Renewable Energy and Associated Technologies: Biodiesel, Solar Thermal and Geothermal Energy," OECD Trade and Environment Working Papers 2006/1, OECD Publishing.
    30. Djiby Thiam, 2011. "An energy pricing scheme for the diffusion of decentralized renewable technology investment in developing countries," Post-Print hal-01135616, HAL.
    31. Erin M. Reid & Michael W. Toffel, 2009. "Responding to public and private politics: corporate disclosure of climate change strategies," Strategic Management Journal, Wiley Blackwell, vol. 30(11), pages 1157-1178, November.
    32. Hill, T.L. & Mudambi, Ram, 2010. "Far from Silicon Valley: How emerging economies are re-shaping our understanding of global entrepreneurship," Journal of International Management, Elsevier, vol. 16(4), pages 321-327, December.
    33. Erin Marie Reid & Michael W. Toffel, 2008. "Responding to Public and Private Politics: Corporate Disclosure of Climate Change Strategies," Harvard Business School Working Papers 09-019, Harvard Business School, revised Jun 2009.
    34. Alexandra Niez, 2010. "Comparative Study on Rural Electrification Policies in Emerging Economies: Keys to successful policies," IEA Energy Papers 2010/3, OECD Publishing.
    35. Paul Tracey & Nelson Phillips, 2011. "Entrepreneurship in Emerging Markets," Management International Review, Springer, vol. 51(1), pages 23-39, February.
    36. Engelen, Andreas & Schmidt, Susanne & Buchsteiner, Michael, 2015. "The Simultaneous Influence of National Culture and Market Turbulence on Entrepreneurial Orientation: A Nine-country Study," Journal of International Management, Elsevier, vol. 21(1), pages 18-30.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adomako, Samuel & Amankwah-Amoah, Joseph & Dankwah, George Obeng & Danso, Albert & Donbesuur, Francis, 2019. "Institutional voids, international learning effort and internationalization of emerging market new ventures," Journal of International Management, Elsevier, vol. 25(4).
    2. David Urbano & Sebastian Aparicio & David Audretsch, 2019. "Twenty-five years of research on institutions, entrepreneurship, and economic growth: what has been learned?," Small Business Economics, Springer, vol. 53(1), pages 21-49, June.
    3. Mariano Méndez-Suárez & Abel Monfort & Fernando Gallardo, 2020. "Sustainable Banking: New Forms of Investing under the Umbrella of the 2030 Agenda," Sustainability, MDPI, vol. 12(5), pages 1-13, March.
    4. Neil A. Thompson & Andrea M. Herrmann & Marko P. Hekkert, 2018. "SME Knowledge Commercialization Through Public Sector Partnerships," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 15(03), pages 1-27, June.
    5. Alaydi, Sharif & Buck, Trevor & Tang, Yee Kwan, 2021. "Strategic responses to extreme institutional challenges: An MNE case study in the Palestinian mobile phone sector," International Business Review, Elsevier, vol. 30(3).
    6. Sousa, Carlos M.P. & He, Xinming & Lengler, Jorge & Tang, Linhan, 2021. "Foreign market re-entry: A review and future research directions," Journal of International Management, Elsevier, vol. 27(2).
    7. Ibrahem Alshbili & Ahmed A. Elamer & Maha W. Moustafa, 2021. "Social and environmental reporting, sustainable development and institutional voids: Evidence from a developing country," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(2), pages 881-895, March.
    8. Dykes, Bernadine J. & Kolev, Kalin D., 2018. "Entry Timing in Foreign Markets: A Meta-analytic Review and Critique," Journal of International Management, Elsevier, vol. 24(4), pages 404-416.
    9. Soliman, Salma & Papanastassiou, Marina & Saka-Helmhout, Ayse, 2023. "The role of subsidiaries in Global Value Chains (GVCs): An institutional voids perspective on LVC upgrading and integration," Journal of International Management, Elsevier, vol. 29(2).
    10. A. Erin Bass & Birgitte Grøgaard, 2021. "The long-term energy transition: Drivers, outcomes, and the role of the multinational enterprise," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(5), pages 807-823, July.
    11. Jonas Heiberg & Christian Binz & Bernhard Truffer, 2020. "The Geography of Technology Legitimation. How multi-scalar legitimation processes matter for path creation in emerging industries," Papers in Evolutionary Economic Geography (PEEG) 2034, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Aug 2020.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jayanti, Rama K. & Raghunath, S., 2018. "Institutional entrepreneur strategies in emerging economies: Creating market exclusivity for the rising affluent," Journal of Business Research, Elsevier, vol. 89(C), pages 87-98.
    2. Holtbrügge, Dirk & Dögl, Corinna, 2012. "How international is corporate environmental responsibility? A literature review," Journal of International Management, Elsevier, vol. 18(2), pages 180-195.
    3. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.
    4. Ruxi Wang & Frank Wijen & Pursey P.M.A.R. Heugens, 2018. "Government's green grip: Multifaceted state influence on corporate environmental actions in China," Strategic Management Journal, Wiley Blackwell, vol. 39(2), pages 403-428, February.
    5. Franczak, Jennifer & Lanivich, Stephen E. & Adomako, Samuel, 2023. "Filling institutional voids: Combinative effects of institutional shortcomings and gender on the alertness – Opportunity recognition relationship," Journal of Business Research, Elsevier, vol. 155(PB).
    6. Wu, Bao & Monfort, Abel & Jin, Chenfei & Shen, Xinyan, 2022. "Substantial response or impression management? Compliance strategies for sustainable development responsibility in family firms," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    7. Salla Laasonen & Martin Fougère & Arno Kourula, 2012. "Dominant Articulations in Academic Business and Society Discourse on NGO–Business Relations: A Critical Assessment," Journal of Business Ethics, Springer, vol. 109(4), pages 521-545, September.
    8. Lyton Chithambo & Ishmael Tingbani & Godfred Afrifa Agyapong & Ernest Gyapong & Isaac Sakyi Damoah, 2020. "Corporate voluntary greenhouse gas reporting: Stakeholder pressure and the mediating role of the chief executive officer," Business Strategy and the Environment, Wiley Blackwell, vol. 29(4), pages 1666-1683, May.
    9. Samuel Roscoe & Nachiappan Subramanian & Romina Prifti & Lin Wu, 2020. "Stakeholder engagement in a sustainable sales and operations planning process," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3526-3541, December.
    10. Oliva, Fábio Lotti & Teberga, Pedro Marins Freire & Testi, Lucas Israel Oliveira & Kotabe, Masaaki & Giudice, Manlio Del & Kelle, Peter & Cunha, Miguel Pina, 2022. "Risks and critical success factors in the internationalization of born global startups of industry 4.0: A social, environmental, economic, and institutional analysis," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    11. Simon Cadez & Albert Czerny & Peter Letmathe, 2019. "Stakeholder pressures and corporate climate change mitigation strategies," Business Strategy and the Environment, Wiley Blackwell, vol. 28(1), pages 1-14, January.
    12. Voeten, Jaap & Saiyed, Abrar Ali & Dutta, Dev K., 2018. "Emerging Economies, Institutional Voids, and Innovation Drivers : A Study in India," Other publications TiSEM 2f47f71d-6686-4e5e-8d68-6, Tilburg University, School of Economics and Management.
    13. Geoffrey Desa, 2012. "Resource Mobilization in International Social Entrepreneurship: Bricolage as a Mechanism of Institutional Transformation," Entrepreneurship Theory and Practice, , vol. 36(4), pages 727-751, July.
    14. Zelong Wei & Hao Shen & Kevin Zheng Zhou & Julie Juan Li, 2017. "How Does Environmental Corporate Social Responsibility Matter in a Dysfunctional Institutional Environment? Evidence from China," Journal of Business Ethics, Springer, vol. 140(2), pages 209-223, January.
    15. Y. Sekou Bermiss & Benjamin L. Hallen & Rory McDonald & Emily C. Pahnke, 2017. "Entrepreneurial beacons: The Yale endowment, run‐ups, and the growth of venture capital," Strategic Management Journal, Wiley Blackwell, vol. 38(3), pages 545-565, March.
    16. Lucia Gatti & Babitha Vishwanath & Peter Seele & Bertil Cottier, 2019. "Are We Moving Beyond Voluntary CSR? Exploring Theoretical and Managerial Implications of Mandatory CSR Resulting from the New Indian Companies Act," Journal of Business Ethics, Springer, vol. 160(4), pages 961-972, December.
    17. Viju Raghupathi & Jie Ren & Wullianallur Raghupathi, 2020. "Identifying Corporate Sustainability Issues by Analyzing Shareholder Resolutions: A Machine-Learning Text Analytics Approach," Sustainability, MDPI, vol. 12(11), pages 1-24, June.
    18. Hans B. Christensen & Luzi Hail & Christian Leuz, 2021. "Mandatory CSR and sustainability reporting: economic analysis and literature review," Review of Accounting Studies, Springer, vol. 26(3), pages 1176-1248, September.
    19. Preuss, Lutz & Vazquez-Brust, Diego & Yakovleva, Natalia & Foroughi, Hamid & Mutti, Diana, 2022. "When social movements close institutional voids: Triggers, processes, and consequences for multinational enterprises," Journal of World Business, Elsevier, vol. 57(1).
    20. Silvestre, Bruno S., 2015. "Sustainable supply chain management in emerging economies: Environmental turbulence, institutional voids and sustainability trajectories," International Journal of Production Economics, Elsevier, vol. 167(C), pages 156-169.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:intman:v:22:y:2016:i:4:p:403-415. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/601266/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.