Toward a Theory of Entry in Moral Markets: The Role of Social Movements and Organizational Identity

56 Pages Posted: 31 Jul 2018

See all articles by Panikos Georgallis

Panikos Georgallis

University of Amsterdam

Brandon H. Lee

Melbourne Business School; Melbourne Business School

Date Written: July 12, 2018

Abstract

A growing body of research on moral markets — sectors whose raison d’être is to offer market solutions to social and environmental issues — has offered critical insights into the emergence and growth of these sectors. Less is known, however, about why some firms enter moral markets while others do not. Drawing from research on market entry, organizational identity, and social movements, we develop a theory that highlights the potential of organizational identity to explain variation in entry into moral markets. We then expand our framework by theorizing about contingencies that alter the shape of the relationship between organizational identity and market entry: the type and orientation of the social movement supporting the moral market, the flexibility of organizational identity, and the mode of market entry (de novo vs. de alio). Finally, we discuss the contributions of our framework and opportunities for extension.

Keywords: Market Entry, Moral Markets, Social Movements, Organisational Identity, Economic Sociology, Organization Theory

Suggested Citation

Georgallis, Panayiotis and Lee, Brandon H. and Lee, Brandon H., Toward a Theory of Entry in Moral Markets: The Role of Social Movements and Organizational Identity (July 12, 2018). Available at SSRN: https://ssrn.com/abstract=3212683 or http://dx.doi.org/10.2139/ssrn.3212683

Panayiotis Georgallis (Contact Author)

University of Amsterdam ( email )

Spui 21
Amsterdam, 1018 WB
Netherlands

Brandon H. Lee

Melbourne Business School ( email )

200 Leicester Street
Carlton, Victoria 3053 3186
Australia

Melbourne Business School ( email )

200 Leicester Street
Carlton, VIC 3053
Australia

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