Institutional logics and technology development: Evidence from the wind and solar energy industries

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21 Scopus citations

Abstract

The relationship between regionally tied institutional logics and the location of organizations is an important issue in organization theory. Recent work highlights how supportive regional logics can give rise to products or organizations that resonate with these logics and how the geographic patterns that underlie industries may be understood by examining such relationships. This literature has not, however, offered deep attention to the ways in which features of technology-specifically, its inherent uncertainty-may interact with such dynamics. In this paper, we tackle the challenge. Our work examines how the level of support for an environmental-conservation logic within a region is associated with the number of wind and solar equipment manufacturers in that region in the years 1978-2006. By simultaneously exploring the effects of this logic on two similar technologies, our work not only reinforces how logics may interact with organizational activity but also shows how the magnitude and mechanisms of this effect depend on the technology in question. We build on these findings to discuss the importance of examining technologies in detail, including their dimensions of uncertainty, the role of timing in examining the effect of regionally tied logics, and the links between public policy and logics.

Original languageEnglish
Pages (from-to)649-670
Number of pages22
JournalOrganization Science
Volume31
Issue number3
DOIs
StatePublished - Jun 2020

Funding

The authors thank anonymous reviewers, Andrew Earle, Joan Fitzgerald, Ralph Heidl, Helen Naughton, Davide Ravasi, Wes Sine, Wes Wilson, Judith Walls, and seminar participants at Bocconi University, Nanyang Technological University, Scuola Superiore Sant'Anna, Swiss Federal Institute of Technology (ETH), St. Gallen University, Universidad Carlos III, IESE Business School, George Washington University, and the University of Portland for helpful comments. Aaron McDonald and Jillian Shephard provided excellent research assistance. A previous version of this paper was presented at the 2012 Academy of Management Annual Conference.

Funders
Swiss Federal Institute of Technology Zurich
George Washington University
Universidad Carlos III de Madrid

    Keywords

    • Geography of innovation
    • Institutional theory
    • Sustainability/corporate environmentalism

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