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Acts of Meaning: The Legitimization of New Ventures

Author

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  • Al S. Lovvorn, Ph.D.
  • Jiun-Shiu Chen, Ph.D.

Abstract

Using the lens of institutional theory and the legitimization construct, we discuss how new ventures select an organizational structure, how new ventures obtain legitimacy for their organizational structure, and change institutional norms. We examine how institutional forces may influence the organizational structure of new ventures in both established and new fields and discuss how institutional theory may provide an explanation of the organizational structures available to new venture firms entering into established business fields. Additionally, institutional theory is evoked to better understand the process by which new ventures may establish an organizational structure where no institutionalized (legitimated) structure currently exists.

Suggested Citation

  • Al S. Lovvorn, Ph.D. & Jiun-Shiu Chen, Ph.D., 2013. "Acts of Meaning: The Legitimization of New Ventures," Journal of Management and Strategy, Journal of Management and Strategy, Sciedu Press, vol. 4(1), pages 28-40, February.
    • Handle: RePEc:jfr:jms111:v:4:y:2013:i:1:p:28-40
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    References listed on IDEAS

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    1. Marjolijn S. Dijksterhuis & Frans A. J. Van den Bosch & Henk W. Volberda, 1999. "Where Do New Organizational Forms Come From? Management Logics as a Source of Coevolution," Organization Science, INFORMS, vol. 10(5), pages 569-582, October.
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    5. 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.
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    Cited by:

    1. Wafa N. Almobaireek & Ahmed A. Alshumaimeri & Tatiana S. Manolova, 2016. "Building entrepreneurial inter-firm networks in an emerging economy: the role of cognitive legitimacy," International Entrepreneurship and Management Journal, Springer, vol. 12(1), pages 87-114, March.

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