Search results
1 – 10 of over 28000Zhongtian Li, Shamima Haque and Larelle (Ellie) Chapple
The purpose of this paper is to analyse how an influential supplier of electronics manufacturing services (i.e. Foxconn) discloses its labour practices.
Abstract
Purpose
The purpose of this paper is to analyse how an influential supplier of electronics manufacturing services (i.e. Foxconn) discloses its labour practices.
Design/methodology/approach
The analysis is conducted through the theoretical lens of legitimacy and impression management. This particular firm is selected as it provides a rich case on labour practice disclosures in a setting where significant labour malpractice incidents occurred from 2009 to 2011. The sample period covers 12 years of the firm's labour practice disclosures (2008–2019) to match with publicly available information that is used to construct expert comparative accounts on the disclosures. The authors corroborate the comparative accounts with sociological studies and responsibility reports from the major customer (i.e. Apple).
Findings
The authors found that the disclosures become more detailed over successive years. Occupational health and safety issues are predominantly reported, followed by issues relating to vocational guidance and training and then employment policy. Regarding impression management strategies, defensive strategies embedded in the disclosures are rarely detected and assertive strategies are persistently used from 2008 to 2019 to maintain legitimacy. The comparative accounts show the persistent use of one defensive strategy (i.e. omission) to maintain and regain legitimacy. In other words, as an economic strategy, material labour practice issues are persistently omitted in the disclosures. The incidents discernibly affect how Foxconn discloses labour practices.
Originality/value
The authors’ study contributes to the limited extant research on suppliers' labour practice disclosures from the perspective of legitimacy theory and impression management. The results will be of great interest to researchers, investors, assurers and other stakeholders.
Details
Keywords
The purpose of this paper is to examine how responsible gambling policies are communicated and presented as a legitimation strategy to different stakeholders.
Abstract
Purpose
The purpose of this paper is to examine how responsible gambling policies are communicated and presented as a legitimation strategy to different stakeholders.
Design/methodology/approach
This study is based primarily on 49 semi-structured interviews with internal and external stakeholders of Macao’s gambling industry in 2011. This study draws on Reast et al.’s (2012) legitimacy-seeking strategy framework.
Findings
The findings indicate that these organisations use construing and earning legitimacy strategies to ensure passive support and acquiescence from certain stakeholder groups, and they deploy bargaining and capturing legitimacy strategies to generate active support for this morally contested industry. As a means of attaining long-standing legitimacy in the industry, gambling operators engage symbolically rather than substantively in responsible gambling to minimise the legitimacy gap.
Research limitations/implications
The findings of the study pertain to a unique setting and might not be suitable for generalisation.
Practical implications
In the absence of stringent legal mechanisms and strong external stakeholder pressure, the 12th Five-Year Plan of the People’s Republic of China aims to transform Macao into a “World Centre of Tourism and Leisure”, and gambling companies may soon face much stronger pressures from the Chinese Government and the Macao Government.
Social/implications
Voluntary responsible gambling initiatives are liable to be used only in symbolic fashion, without offering genuine engagement or full commitment to the most vulnerable stakeholder group.
Originality/value
This study contributes to the literature on social and accounting literature by providing an in-depth case study of how organisations in the gambling industry use different communication strategies to shape and respond to controversial issues.
Details
Keywords
Xiaohua Su, Haidong Peng, Shujun Zhang and Yun Rong
– The purpose of this paper is to explore the legitimacy needs and legitimation strategies of Internet start-ups in the context of industry dynamism.
Abstract
Purpose
The purpose of this paper is to explore the legitimacy needs and legitimation strategies of Internet start-ups in the context of industry dynamism.
Design/methodology/approach
The purpose of this paper is to explore the legitimacy needs and legitimation strategies of Internet start-ups in the context of industry dynamism.
Findings
The authors found that Internet start-ups are in great need of acquiring market and relational legitimacy at their nascent stages. Conformance to the environment is widely adopted by them as a legitimacy-enhancing strategy. There is an inverted “U” relationship between the maturity of the industry and the proactivity of any legitimation strategy in the sector. In the face of high- and low-level industry maturity, start-ups tend to employ prudent strategies to build up legitimacy. While in medium-mature industries, ventures are more likely to adopt proactive and aggressive strategies.
Research limitations/implications
Due to the very nature of case methodology, this study is based on a small number of observations and it is set in the context of the Internet industry. The generalizability of its findings needs to be reinforced by further concrete studies.
Practical implications
This paper suggests that industry dynamism should be taken into account carefully when implementing a choice of legitimation strategies.
Originality/value
This study makes an attempt to further our understanding of how industry dynamism influences firms’ choices of legitimation strategies.
Details
Keywords
Jeffrey Gauthier and Jeffrey A. Kappen
The purpose of this paper is to examine the rhetorical strategies used by organizations in support of propriety judgments concerning their products.
Abstract
Purpose
The purpose of this paper is to examine the rhetorical strategies used by organizations in support of propriety judgments concerning their products.
Design/methodology/approach
The approach taken entails discourse and rhetorical analysis of texts produced by leading firms in the bottled water industry, and by the industry’s trade association, surrounding issues of sustainability.
Findings
The analysis reveals rhetorical strategies invoked by firms to legitimate their economic, environmental and social performance.
Research limitations/implications
This paper’s primary contribution is to research that informs the discursive aspects of legitimacy. As well, this study contributes to our nascent understanding of the microfoundations of sustainability.
Originality/value
Our knowledge of how organizations use different discursive strategies in support of legitimacy is relatively underdeveloped. By examining rhetorical strategies used in support of propriety judgments concerning organizations’ environmental, social and economic legitimacy, this study begins to fill gaps in our understanding.
Details
Keywords
Tianshu Xu, Dongyi Jiang and Dong Li
Study on the internal legalization process of strategic change for a large number of ultra-large enterprises in China.
Abstract
Purpose
Study on the internal legalization process of strategic change for a large number of ultra-large enterprises in China.
Design/methodology/approach
This paper takes formulation process of Suning Appliance Group’s 10-year strategy (2010–2020) as the research case, designs the research issues, propositions and analysis unit of the case study, and uses the data collection and analysis methods in the grounded theory to realize the theoretical development from data to viewpoint conceptualizing and to proposition categorizing.
Findings
There are four key concepts that affect the judgment of overall strategic legitimacy of super-large enterprises: Emerging-market opportunities and strategic operational positioning, legitimacy perspective mainly manifests as legitimacy judgment of strategic direction within organization. Positioning of core resources (including intangible resources) and their value identification methods or value evaluation criteria, the legitimacy perspective is mainly reflected in the organization's internal legitimacy judgment of functional planning, especially implementation path. The impact factors of the key performance of each SBU are positioned, and the legitimacy perspective is mainly reflected in the organization’s internal judgment on the legitimacy of strategic supporting measures, especially the resources needed for the implementation of the strategy and capacity development. The periodical strategic objectives and performance measurement indicators of each SBU are mainly reflected in the organization’s internal legitimacy judgment on strategic alignment and specific action plans for strategic operational units. The legitimacy of these four key concepts is strongly influenced by the rationality of these strategic concepts, which are closely related to their shaping patterns driven by right-brain and left-brain thinking modes.
Research limitations/implications
This case is a longitudinal study of the strategic decision-making process, not a longitudinal follow-up of the actual implementation of the strategy. In addition, given that the case enterprise was facing the emerging market at that time and focused on pushing firms to seize opportunities, not much research has been done on the impact of external legitimacy on the strategic formulation process, a variable that is increasingly being focused on today.
Practical implications
This model has guidance significance and practical demonstration role for a large number of enterprises that are implementing the “+Internet” strategic change under traditional offline operation.
Social implications
According to the summary of the connection between data and propositions in several rounds, this paper constructs a theoretical model of left and right brain thinking mode driving key concepts to achieve the internal legalization process of strategic changes.
Originality/value
In the analysis process, the legalization theory and the sense-making method are introduced into enterprises’ strategy making process. Based on this analysis framework, this paper analyzes in detail that the top decision-making level and the middle and high executive level form key strategic concepts to promote the internal legalization process of strategic decision-making driven by the right-brain intuitive thinking mode and the left-brain rational thinking mode, which greatly improves the quality of strategy formulation and the operability of strategy implementation.
Details
Keywords
Charl de Villiers and Matteo Molinari
The purpose of this paper is to understand how communication strategies and the use of numbers can ensure the buy-in and cooperation of stakeholders.
Abstract
Purpose
The purpose of this paper is to understand how communication strategies and the use of numbers can ensure the buy-in and cooperation of stakeholders.
Design/methodology/approach
Drawing on legitimacy theory, this study analysis documents regarding the communication strategies of New Zealand (NZ)'s Prime Minster, Jacinda Ardern, during the COVID-19 pandemic, in order to extract lessons for organizations. The authors contrast Ardern's communications with those of Donald Trump, the President of the United States (US), as evidence that leaders do not necessarily follow these strategies.
Findings
The findings show that clear, consistent and credible communications, backed up by open access to the numerical data that underlie the decisions, ensure that these decisions are seen as legitimate, ensure that citizens/stakeholders feel leaders are accountable and believe in the necessity of measures taken and that they conform to the guidelines and rules. By contrast, the strategy of attempting to withhold information, blaming others, refusing to acknowledge that there are problems and refusing to address problems lead to non-conformance by citizens/stakeholders. Business leaders could apply these lessons to the management of crises in their organizations to ensure buy-in from employees and other stakeholders. Leaders and organizations that follow these communication strategies can emerge in a stronger position than before the crisis.
Research limitations/implications
This paper develops a theoretical framework of strategies aimed at maintaining and disrupting legitimacy among key audiences, which can be used in future research.
Practical implications
This paper highlighting how organizations and organizational leaders can best communicate with stakeholders using accounting, thus coming across as being accountable during crisis times.
Social implications
The legitimacy maintenance strategies outlined in this paper ensures that stakeholders feel leaders and the organizations they represent hold themselves accountable.
Originality/value
This paper outlines the lessons that an organization can learn from communication strategies adopted by governments during the COVID-19 crisis. The paper extends legitimacy theory by explicitly acknowledging the ability to disrupt the legitimacy of others and including this in the authors’ theoretical framework.
Details
Keywords
Cristina Florio and Alice Francesca Sproviero
This study aims to explore how corporate discourses enact legitimation strategies aimed at repairing pragmatic, moral and cognitive legitimacy types (Suchman, 1995) after a…
Abstract
Purpose
This study aims to explore how corporate discourses enact legitimation strategies aimed at repairing pragmatic, moral and cognitive legitimacy types (Suchman, 1995) after a scandal involving sustainability, namely, the Volkswagen’s 2015 diesel scandal.
Design/methodology/approach
By drawing on the discursive nature of legitimacy, this study conducts a critical discourse analysis to identify how the scandal is depicted and which semantic, grammatical and lexical features characterise discourses. It then relates discourses and their features to legitimation strategies that help repair diverse types of legitimacy.
Findings
To repair pragmatic legitimacy, discourses on a few actors and processes enact strategies of creating monitors and avoiding panic. Such discourses include grammatical features only. Discourses on the event, actors, processes and topics of apology, trust and integrity aim to repair moral legitimacy. Enriched with grammatical and lexical features, they mobilise disassociation, excuse, justify and restructure strategies. Discourses on the event, actors, processes and topics of corporate qualities, history and future strategy help repair cognitive legitimacy by enacting an avoiding panic strategy. Grammatical, lexical and semantic features characterise such discourses.
Research limitations/implications
The study reveals the potentials of critical discourse analysis to bring out from texts practical modes of communicating, and specifically those discourses and features of discourses that serve legitimacy purposes.
Originality/value
This study offers insights into the connection among discourses, relegitimation strategies and legitimacy types by combining the discursive nature of legitimacy with critical discourse analysis. It also contributes to the growing literature on how organisations face the legitimacy challenges raised by scandals involving sustainability.
Details
Keywords
Quynh Do, Nishikant Mishra, Fernando Correia and Stephen Eldridge
Circular economy advocates innovations that upcycle wastes in the food supply chain to generate high added-value materials. These innovations are not only disruptive and green but…
Abstract
Purpose
Circular economy advocates innovations that upcycle wastes in the food supply chain to generate high added-value materials. These innovations are not only disruptive and green but also they are often initiated by startups, leading to the emergence of novel open-loop supply chains connecting actors in food and non-food sectors. While earlier research has highlighted the need to seek legitimacy for disruptive innovations to survive and grow, little is known about how these innovations occur and evolve across sectors. This paper aims to elaborate on this mechanism by exploring the function of the circular economy as a boundary object to facilitate legitimacy-seeking strategies.
Design/methodology/approach
An exploratory multiple-case research design is adopted and features food waste innovation projects with multi-tier supply chains consisting of a food producer, a startup and a buying firm. The study is investigated from the legitimacy and boundary object lenses.
Findings
The findings proposed a framework for the role of a boundary object in enabling legitimacy-seeking strategies for novel food waste innovations. First, the interpretative flexibility of the circular economy affords actors symbolic resources to conduct manipulation strategy to achieve cognitive legitimacy. Second, small-scale work arrangements enable creation strategy for the new supply chain to harness moral legitimacy. Finally, pragmatic legitimacy is granted via diffusion strategy enabled by scalable work arrangements.
Originality/value
This paper provides novel insights into the emergence of food waste innovation from a multi-tier supply chain perspective. It also highlights the key role of the boundary object in the legitimacy-seeking process.
Details
Keywords
Romeo V. Turcan, Svetla Marinova and Mohammad Bakhtiar Rana
The paper focuses on legitimation and legitimation strategies applied by companies. Following the process of systematic review, we analyse empirical studies exploring legitimation…
Abstract
The paper focuses on legitimation and legitimation strategies applied by companies. Following the process of systematic review, we analyse empirical studies exploring legitimation and legitimation strategies from different theoretical perspectives. Using the key findings by reconnoitering and comparing the theoretical background, approaches, methodologies and findings of these empirical studies, we outline potential directions for research in the legitimation strategies of firms engaged in international business operations.
The purpose of this study is to examine how social disclosures by one of the world’s largest producers of Platinum Group Metals are used to maintain and repair legitimacy in the…
Abstract
Purpose
The purpose of this study is to examine how social disclosures by one of the world’s largest producers of Platinum Group Metals are used to maintain and repair legitimacy in the context of South Africa’s prevailing socio-economic conditions and in response to the immediate challenge to legitimacy posed by violent worker demonstrations taking place at its operations in Marikana during August 2012. This is done to highlight how legitimacy strategies take account of the temporal characteristics of a threat to legitimacy and how these, in turn, may constrain the need for far-reaching organisational change.
Design/methodology/approach
Suchman’s (1995) outline of legitimacy theory and Laughlin’s (1991) model of organisational change provide a frame of reference for a detailed thematic content analysis which identifies the use of different strategies by an organization to respond to threats to its credibility and how these impact, resulting changes to business philosophies, policies and systems.
Findings
The study highlights the temporal dimension of legitimisation strategies. Social-related disclosures provided by the case entity in response to labour unrest are aimed at addressing both the episodic and continual threat to legitimacy resulting from the unfavourable event. These also have the effect of limiting the extent of internal changes to select business policies and sub-systems. Carefully managing legitimacy allows the case entity to avoid the need to reformulate its business ethos.
Research limitations/implications
The study deals only with a single case organisation. Although the emphasis is on highlighting themes and principles, results are not necessarily applicable in different contexts. Related to this, although the study deals with a major South African mining company, it does not prove the relevance of local cultural differences to the legitimisation process.
Originality/value
The study dispenses with the use of proxies, such as frequencies of disclosures, to demonstrate how organisations use non-financial reporting to secure legitimacy. Instead, it offers a detailed account of how different sub-sets of legitimacy are being mobilised in corporate reports response to long-term and episodic legitimacy considerations. In addition, the study offers one of the first interpretive accounts of how strategies used to manage legitimacy may constrain the potential of a material external shock resulting in internal organisational change. Finally, the study offers one of the first examples of the operation of legitimacy and organisational change theory from the African Continent.
Details