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Agency, Entrepreneurs, and Institutional Change: The Role of Strategic Choice and Institutionalized Practices in Organizations

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Beckert, J. (1999). Agency, Entrepreneurs, and Institutional Change: The Role of Strategic Choice and Institutionalized Practices in Organizations. Organization Studies, 20(5), 777-799. doi:10.1177/0170840699205004.


Cite as: https://hdl.handle.net/21.11116/0000-0008-29A3-2
Abstract
One of the persistent problems facing institutional organization theory has been the question of how to deal with interest-driven behaviour and institutional change. If organizational structures and strategies are shaped by institutional environments, what is the role of `strategic choice' in the management of organizations? In this paper, my aim is to develop an integrative concept which theorizes the connection of strategic agency and institutions in a model of institutional change. I argue that, under market conditions, institutional rules and intentional rational agency can be conceptualized as antagonistic mechanisms that contradict each other, but, nevertheless, remain interdependent. The incorporation of a systematic place for interests does not weaken the main theoretical trait of institutional theory, but, on the contrary, demonstrates the importance of institutional rules for understanding institutional change in a comprehensive model. The notion of uncertainty is at the centre of this model. By referring to existing empirical findings of processes of institutional change, four propositions are developed and supported.