Author:Haveman, H.
Title:Follow the leader: mimetic lsomorphism and entry into new markets
Journal:Administrative Science Quarterly
1993 : DEC, VOL. 38:4, p. 593-627
Index terms:LEADERSHIP
MARKETS
ORGANIZATIONS
Language:eng
Abstract:This paper combines organizational ecology and neoinstitutional theory to explain the process of diversification, specifically, how the structure of markets affects rates of market entry. The author extends the density-dependence model of competition and legitimation, which has been used to study organizational founding and failure, to the process of organizational change through entry into new markets. The author argues that the number of organizations operating in a particular market will have an inverted-U-shaped relationship with the rate of entry into the market.
SCIMA record nr: 111623
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