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This double volume presents a collection of 23 papers on how institutions matter to socio-economic life. The papers delve deeply into the practical impact an institutional approach enables, as well as how such research has the potential to influence policies relevant to critical institutional changes unfolding in the world today. In Volume 48A, the focus is on the micro foundations of institutional impacts. In Volume 48B, the focus is on the macro consequences of institutional arrangements. Our introduction provides an overview to the two volumes, identifies points of contact between the papers, and briefly summarizes each contribution. We close by noting avenues for future research on how institutions matter. Overall, the volumes provide a cross-section of cutting edge institutional thought and empirical research, highlighting a variety of fruitful directions for knowledge accumulation and development.

This chapter grapples with questions of agency in the development of African higher education, with a special focus on the Association of African Universities (AAU), an organization outside of formal education policymaking on the continent. Through the lens of rhetorical institutionalism, findings illustrate how the AAU has adopted and adapted competing institutional logics to exert influence over development policymaking. Next, I will discuss how systems of persuasion were cultivated and symbols employed to establish the legitimacy of the organization in a heterogeneous institutional field that includes universities, development agencies, nongovernmental organizations, supranational arrangements, and the influence of international financial institutions. This enabled the AAU to extend institutional logics into African higher education. This case study seeks to upend the pervasive crisis narrative that perpetuates both the impotence of African institutions and the stewardship of outside development elites. Finally this chapter considers the implications of this critical case study for development discourse and practice.

We investigated how an institutional settlement concerning Native Indian gaming (the operation of gambling establishments such as casinos or bingo halls by Native Indian tribes) was preserved over time in spite of three significant challenges. Building on previous literature on settlements and institutional logics, we see settlements as institutional arrangements that manage power dynamics and competing institutional logics. Based on our analyses of the settlement and three challenges in the Native gaming field, we suggest that even seemingly volatile institutional settlements can be maintained when powerful actors balance each other’s ability to modify the settlement and different actors invoke alternative institutional logic(s). We also find that these processes can be facilitated by the embeddedness and formality of the settlement. We contribute to the settlement literature by showing how settlements can be maintained when actors draw on equally strong sources of power and different logics to counter the actions of other actors. Furthermore, we shed light on “how institutions matter” by demonstrating how institutional settlements can facilitate field stability.

Wicked problems require holistic and systemic thinking that accommodates interdisciplinary solutions and cross-sectoral collaborations between private and public sectors. This paper explores how public relations (PR) – as a boundary-spanning function at the nexus of corporate and political discourse – can support societies to tackle wicked problems.

This conceptual paper synthesizes literature on PR with a service ecosystem perspective. The authors use the service ecosystem design framework to structure the PR literature and develop a model of service ecosystem shaping for social change, which highlights the important role that PR can play in shaping processes.

The authors explicate how PR can (1) facilitate value cocreation processes between broad sets of stakeholders that drive positive social change, (2) shape institutional arrangements in general and public discourse in particular, (3) provide a platform for recursive feedback loops of reflexivity and (re)formation that enables discourse to ripple through nested service ecosystems and (4) guide collective shaping efforts by bringing stakeholder concerns and beliefs into the open, which provides a foundation for collective sense-making of wicked problems and their solutions.

This paper explains the complexity of shaping service ecosystems for positive social change. Specifically, it highlights how solving wicked problems and driving social change requires reconfiguration of the institutional arrangements that guide various nested service ecosystems. The authors discuss in detail how PR can contribute to the shaping of service ecosystems for social change and present a future research agenda for both service and PR scholars to consider.

The study aims to demonstrate how different arrangements and characteristics of institutions can generate or mitigate uncertainty thereby facilitating or hampering the possibilities of entrepreneurial action.

This is a conceptual paper that advances the theoretical understanding of the relationship between entrepreneurial uncertainty and the different institutional levels, their characteristics and their interplay.

Entrepreneurial uncertainty also comes from the institutional environment and this has direct impact on the propensity to take action. The characteristics of the different institutional levels, in specific, their quality, stability, alignment and the burden imposed by L2 impact in the emergence of entrepreneurial uncertainty.

This is a conceptual paper that makes a number of theoretical suggestions which need to be further analyzed by empirical work.

The findings suggest that different institutional levels need to be dealt with differently by research studies and institutional agents, including policy makers. Among others, the findings also suggest that stability is key to entrepreneurship and that the benefits of high quality regulation can be undermined by its excessive burden, reducing entrepreneurial action and harming development.

Institutional actors should provide stability and allow for the improvement of the environment overall. Specifically, policy makers should aim at good quality regulation that is valid across the board, that provides stability and gives room for improvement of the institutions. Policy makers should refrain from trying to foster specific industries; they should instead provide a leveled playing field without trying to direct the entrepreneurial efforts towards an industry or geographic region and without being overly demeaning.

This research breaks new ground. It unites ideas from entrepreneurship and institutions suggesting a novel, much more nuanced approach to their interplay. The results can be used by scholars in the fields of entrepreneurship, institutions and economic development. They also have the potential to help to educate policy makers in their quest to improve the context for entrepreneurs.

The purpose of this paper is to explain how institutional elements and market conditions shape and then reshape the development of high‐tech industries in large emerging countries.

This paper develops a new framework to assess the impact of market and institutions on the high‐tech industry evolution in large emerging economies such as China. The qualitative approach based on historical data and interviews are provided to support the framework.

The framework and empirical research suggest that the institution systems and market dynamics will interact and influence the transformation process of industrial structure and the strategic choice of partnership arrangement between the domestic and foreign firms. The complementary assets which are considered as proxy to the resource accessibility in the market are also identified in the framework and it was verified in the case study.

This study has important implications for business strategy in emerging economies. The authors' observations indicate building close ties with domestic firms is an important asset to minimize the liability of foreignness for multinational firms. The paper has alluded to co‐evolutionary dynamics in the development of high‐tech industry in China by linking market initiative with institutional environment.

First, the study contributes to institutional‐based view of business strategy by explaining the choice of strategic partnerships between indigenous and foreign players arising from institutional and market considerations. Second, the study extends our understanding of technological catch up in newly‐industrializing countries by showing the interrelation between market elements and institutional arrangements and the corresponding changes to meet technological development needs.

In this study, we explored the behaviour of two Canadian multinational companies operating in the context of Arab Spring events in Egypt in 2011.

We conducted a fine-grained analysis of 171 documents of various secondary sources to understand the behaviour of the two firms in Egypt between 25 January 2011 and 30 June 2012.

We suggest that corporate diplomacy should be viewed as portfolios of interdependent actions rather than reactions to discrete events. We also underline the importance for organisations to have a proactive, holistic and inclusive corporate diplomacy strategy, with the objective to secure and balance both explicit political/legal licence and implicit social licence.

We intentionally focused our empirical analysis on two Canadian firms operating in the same host country and belonging to the same industry. It would be useful to carry similar research in different organisational and institutional contexts.

This study adopts an institutional entrepreneurship perspective in the context of public–private partnerships (P3s) to highlight the role of social actors in enacting institutional change in a complex organizational setting. By studying the actions of two prominent social actors, the authors argue that successful institutional change is the result of dynamic managerial activity supported by political clout, organizational authority and the social positioning of actors.

The authors conducted a field-based case study in a complex institutional and organizational setting in Alberta, Canada. The authors employed an institutional entrepreneurship perspective to identify and analyze the activities of two allied actors motivated to transform the institutional environment for public infrastructure delivery.

The empirical study suggests that the implementation of institutional change is both individualistic and collaborative. Moreover, it is grounded in everyday organizational practices and activities and involves a coalition of allies invested in enacting lasting change in organizational practice(s), even when maintaining the status quo seems advantageous.

The authors critique the structural explanations that dominate the literature on public–private partnership implementation, which downplays the role of agency and minimizes its interplay with institutional logics in effecting institutional change. Rather, the authors demonstrate that, given the observed impact of social actors, public–private partnership adoption and implementation can be theorized as a social phenomenon.

This study aims to advance an international political economy (IPE) perspective that geo-political events can have long-lasting imprint effects on countries and their firms. The study also aims to explore the idea that shared political history and geography combine to create specific structural conditions that shape the international competitiveness of all firms in a region. In particular, the authors consider whether the Monroe Doctrine of 1823, which asserted American influence in the Western Hemisphere, contributed to the creation of institutional structures across Latin America (LA) affecting the strategies of all firms to this day. The authors also illustrate the IPE perspective using the example of the contemporary international competitiveness of LA business groups.

The authors illustrate the IPE perspective using the example of the contemporary international competitiveness of LA business groups. The exploratory framework of this study leads to a proposition about the export performance of Latin American business group affiliates. The authors use firm-level performance data for 32,000 firms across emerging economies to explore the proposition empirically while controlling for alternative explanations. To do this, the authors draw on the World Bank Economic Surveys.

The authors derive a proposition that argues the Monroe Doctrine has had a long-run imprint effect on economic policymaking in LA, resulting in a common, persistent and negative impact on the international competitiveness of firms. The authors find strong and consistent evidence that in terms of export performance, all Latin American firms export less and group affiliates do not outperform independent firms, This finding contrasts with the results for all the other emerging market regions around the world.

The main contribution of this study has been to suggest the potential importance of shared regional geopolitical history and geography in explaining firm-level outcomes. However, this study is preliminary and introductory, although the authors seek to control for alternative country-specific explanations of the results. The analysis considers the effects of one particular IPE phenomenon, the Monroe Doctrine, in one particular location: LA. Future work should seek to contrast LA with other geopolitical security and alternative IPE structures. They might also address the time dimension from a historical perspective: is imprinting in LA driven by the length of the Monroe Doctrine arrangements?

The most important managerial learning point concerns the relevance of geography and political economy factors for multinational enterprises strategy formation. There is widespread understanding that context is an important determinant of subsidiaries’ performance, and that strategies need to be constructed to take account of country-specific characteristics, most importantly, in emerging economies and institutional arrangements. This paper proposes that managers also need to take account of IPE structures, including security arrangements, and to consider the resulting regional as well as national context.

The analysis suggests that not only the performance of firms, including emblematic firms, but also the socially beneficial spillovers that might be generated from them, are contingent on the regional as well as national characteristics. Thus, business groups in most emerging economies are found to yield better performance and to provide higher levels of social impact, including concerning ESG goals. However, the findings of this study suggest that the former is not true for LA, which, the authors argue, is a consequence of imprinting as a result of the Monroe Doctrine. Further work is needed to establish whether the latter effect is also not true, but if that is the case, then regionally specific policies may be required to address the resulting corporate social shortfalls.

The core idea is that geo-political events can have long-lasting imprint effects on countries and their firms: that shared political history and geography create specific structural conditions that shape the international competitiveness of all firms in a region. The authors explore this concept with reference to the Monroe Doctrine, asking whether its assertion of US influence across the Americas contributed to the creation of institutional structures across LA affecting the strategies of all firms to this day.

Digital technologies, and the affordances they provide, can shape institutional processes in significant ways. In the last decade, social media and other digital platforms have redefined civic engagement by enabling new ways of connecting, collaborating, and mobilizing. In this article, we examine how technological affordances can both enable and hinder institutional processes through visibilization – which we define as the enactment of technological features to foreground and give voice to particular perspectives and discourses while silencing others. We study such dynamics by examining #SchauHin, an activist campaign initiated in Germany to shine a spotlight on experiences of daily racism. Our findings show how actors and counter-actors differentially leveraged the technological features of two digital platforms to shape the campaign. Our study has implications for understanding the role of digital technologies in institutional processes as well as the interplay between affordances and visibility in efforts to deinstitutionalize discriminatory practices and institutions.