Beyond Red Tape and Fools: Institutional Theory in Entrepreneurship Research, 1992–2014

Abstract

Institutional theory has become an increasingly common lens in entrepreneurship research. Over the past years, the number of entrepreneurship studies that adopt institutional perspective (EIn research) has grown dramatically. This review systematically examines extant EIn research, analyzing 194 articles published in 11 leading journals from 1992 to 2014. In this review, we focus on three characteristics of the articles: institutional logic, level of analysis, and methodology. Further, we identify three distinct periods of EIn research: the conceptual phase, 1992–2000, the exploration phase 2001–2007, and the acceptance phase 2008–2014. This allows us to provide detailed discussion on main characteristics of the articles and identify evolutionary trends of this research area. The overall surge of articles with institutional perspective in entrepreneurship research is promising. We can see an increasing variation of methods being applied and a growing mutual interest between entrepreneurship and institutional theory researchers. Yet, we find substantial biases and omissions in the application of institutional theory. There is a focus on national level analysis with assuming state and market logics. For EIn to move forward it has to move closer to field/industry level analysis and add new insights into entrepreneurship and alternative logics. Based on our framework and additional insights gained from the review, we outline directions for future EIn research.

Institutional environment and network competence in successful SME internationalisation

“…First, current studies have indicated that the institutional environment can have an impact on entrepreneurial creation (Urbano and Alvarez, 2014), yet a recent literature review on the application of institutional theories in entrepreneurship and international business research concluded that most extant studies have focused on national-level analysis (Su, Zhai and Karlsson, 2017). As a result, the role of institutional forces at the level of enterprises and industry sectors has remained relatively unaddressed.…”

“…Second, Su et al (2017) concluded that researchers tend to assume a direct relationship between institutions and entrepreneurial outcomes. However, they and other researchers suggest that this relationship can also be indirect.…”

An institutional logics perspective to evolution of Indian microcredit business models

“…In institutional theory, these beliefs are included in institutional logics (Su, Zhai, & Karlsson, ). At any point in time there are different institutional sectors such as markets, corporations, professions, states, families, and religions, each of which may have its own logics, leading to competing logics in any field.…”

Enabling Sustainable Transformation: Hybrid Organizations in Early Phases of Path Generation

“…It goes without saying that a single organizational case study cannot provide all the answers, but if we are to guide the way towards a more sustainable future for ourselves and the planet we need every piece of the puzzle. The need for such exploratory empirically based theory-generating studies has been emphasized, in recent years, in a repeated call for empirical studies on the coexistence of and responses to multiple logics in organizational fields, with a particular focus on the micro-perspective of these issues and connecting it to meso-and macro-level developments (Kodeih and Greenwood 2014;Reay and Hinings 2009;Purdy and Gray 2009;Dunn and Jones 2010;Meyer and Höllerer 2010;Su et al 2017). This study responds to these calls by focusing on the role of actors and actions from a micro-perspective while theorizing on conditions that enable hybrid organizations to play a significant role in early processes of path generation.…”