“…Strategy scholars have emphasized how differentiation helps organizations establish competitive advantages and reduce competition (Barney, 1991; Hoopes, Madsen, & Walker, 2003; Porter, 1987), while institutional theorists have stressed how conformity enables organizations to achieve legitimacy and avoid penalties caused by deviance in behavior (DiMaggio & Powell, 1983; Durand & Kremp, 2016; Zucker, 1977). In response, a robust body of work has emerged in strategy and organization research around the notion of “optimal distinctiveness” (OD), which focuses on identifying the optimal level of distinctiveness that positively shapes stakeholder perceptions and enhances performance (Boulongne & Durand, 2021; Haans, 2019; Navis & Glynn, 2011; Semadeni, 2006; Zhao, Fisher, Lounsbury, & Miller, 2017; Zuckerman, 2016). To date, most OD research has focused on the organizational level by examining what constitutes an optimal level of distinctiveness of an organization as compared to its peers in terms of organizational level attributes such as strategies (Deephouse, 1999; McNamara, Deephouse, & Luce, 2003), innovation activities (Jennings, Jennings, & Greenwood, 2009; Roberts & Amit, 2003), business models (Zott & Amit, 2007), and organizational narratives (Haans, 2019; Taeuscher, Bouncken, & Pesch, 2021).…”