Journal article
Market mediators and the trade-offs of legitimacy-seeking behaviors in a nascent category
BH Lee, SR Hiatt, M Lounsbury
Organization Science | INFORMS | Published : 2017
Abstract
Although existing research has demonstrated the importance of attaining legitimacy for new market categories, few scholars have considered the trade-offs associated with such actions. Using the U.S. organic food product category as a context, we explore how one standards-based certification organization-the California Certified Organic Farmers (CCOF)-sought to balance efforts to legitimate a nascent market category with retaining a shared, distinctive identity among its members. Our findings suggest that legitimacy-seeking behaviors undertaken by the standards organization diluted the initial collective identity and founding ethos of its membership. However, by shifting the meaning of "organ..
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Funding Acknowledgements
The authors gratefully acknowledge funding from the Ewing Marion Kauffman Foundation and the Deloitte Institute of Innovation and Entrepreneurship at London Business School.