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This study introduces a theoretical conception of path coexistence – understood as two or more organizational paths existing in parallel – so as to refine diverging notions put forward by scholars of path dependence and path creation. Our research is based upon a thorough literature review on organizational paths. We come up with a framework mapping the research field and enabling a better understanding of existing parallels and differences across research streams. Moreover, we offer an overview and insights into the set of options how path coexistence can evolve and how paths can coexist on a temporary or permanent basis.
The Formation of Home Sharing Proto-Categories in Europe
Erasmus University Johann Fortwengel,
King's College London
In this paper, we unpack the process through which two proto-categories of home sharing were formed: one, where market participants view home sharing as something radically new, and another one, where they conceive of home sharing as an extension of existing business models. Our findings reveal how actors at different levels—the city level and the level of the European Union—effected the formation of these distinct proto-categories by leveraging particular accounts, and we also trace how firms in the home-sharing business position themselves vis-à-vis these newly formed proto-categories. This study contributes to the literature by presenting category emergence and category creation as not necessarily separate processes, and by theorizing the formation of proto-categories as an ongoing, multi-level, and social process phenomenon.
Recursive Relationship of Sensemaking and Institutions: A Review
Cranfield University Andrey Pavlov,
Cranfield University David Denyer,
Sensemaking occurs when actors experience disruption, ambiguity and turbulence in their environment. Understanding the interplay of sensemaking and institutional processes offers the strategic change scholars with nuanced, cross-level perspectives into the emergence of change and adaptation at the individual, organizational and field levels. Events that conflict with or challenge individuals’ or organizations’ institutionalised frames, practices and norms trigger and guide the sensemaking processes. We argue that sensemaking is a key mechanism through which individuals, groups and organizations revise and reframe their institutional arrangements. Our analysis at the micro, meso and macro levels shows how sensemaking processes and institutions are related, and how actors negotiate and navigate institutional change and contradictions inside and outside of their organizations. We discuss research gaps and propose ways forward.
Leaps of Faith: Cross-industry Mobility, Industry Status, and Executive Compensation
IESE Business School Marta Elvira,
IESE Business School
This study examines how and why the compensation patterns of cross-industry moving executives differ from those of within-industry moving executives. Drawing on categorization and typecasting literatures, we argue that mobility to a different industry leads to a reduction in the expected compensation. We also hypothesize that the cross-industry penalization is moderated by industry status, such that the penalty is more severe if the executive moves from a low-status industry to a high-status one. We find support for our hypotheses with data on the compensation evolution of S&P 1500 executives, and on industry prestige measures derived from public opinion surveys. The results reveal with empirical evidence that industry status impacts the compensation outcomes by providing a non-pecuniary employment benefit in apparent exchange for monetary rewards.