Vive La Resistance: Competing Logics and the Consolidation of U.S. Community Banking

1 Pages Posted: 22 May 2013

See all articles by Christopher Marquis

Christopher Marquis

Cornell University; Harvard University - Harvard Kennedy School (HKS)

Michael Lounsbury

University of Alberta - Department of Strategic Management and Organization

Date Written: May 21, 2006

Abstract

We investigate how competing logics facilitate resistance to institutional change, focusing on banking professionals' resistance to large, national banks' acquisitions of smaller, local banks. Acquisitions led to new bank foundings, particularly when out-of-town banks were the acquirers and a community's local population of bank professionals was large. We argue that the national banks' efforts to introduce a banking logic emphasizing efficiencies of geographic diversification triggered new forms of professional entrepreneurialism intended to preserve a community logic of banking. Contributions to a synthesis of ecological and institutional perspectives and to research on entrepreneurship and resistance to institutional change are discussed.

Keywords: banking research, banking industry United States, entrepreneurship research, bank mergers research, consolidation and merger of corporations research, organizational change research, regional banks, national banks (United States), community banks, market entry

Suggested Citation

Marquis, Christopher and Lounsbury, Michael, Vive La Resistance: Competing Logics and the Consolidation of U.S. Community Banking (May 21, 2006). University of Alberta School of Business Research Paper No. 2013-40. Available at SSRN: https://ssrn.com/abstract=2268188

Christopher Marquis (Contact Author)

Cornell University ( email )

363 Sage Hall
Ithaca, NY 14853
United States

HOME PAGE: http://www.chrismarquis.com

Harvard University - Harvard Kennedy School (HKS) ( email )

79 John F. Kennedy Street
Cambridge, MA 02138
United States

Michael Lounsbury

University of Alberta - Department of Strategic Management and Organization ( email )

Edmonton, Alberta T6G 2R6
Canada

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