In this article, we explain why managing legitimacy is vital for corporations and how business firms can employ strategies to maintain their legitimacy. We then discuss the organizational capacities that each legitimacy strategy implies and point out their inherent tensions. Based on the results of an empirical study, we show how two large corporations have handled these tensions and successfully introduced organizational prerequisites for managing legitimacy. In the final part of this article we elaborate on how participants of the UN Global Compact can use the initiative to strengthen their legitimacy.
Transnational governance schemes (TGSs) are interorganizational networks of public and/or private actors that jointly regulate global public policy issues, such as the prevention of human rights violations and the protection of ecosystems. Considering that TGSs mainly address issues of public concern, the general public represents a major source of legitimacy in transnational governance. We theorize how members of the general public, whom we conceptualize as intuiters, apply heuristics to bestow legitimacy on TGSs. Given the difficulty of assessing TGSs, we argue that intuiters draw on affect-based responses towards a TGS's better-known network affiliates, such as participating business firms, to judge the legitimacy of the TGS as a whole. This substitution produces a “vertical” legitimacy spillover. More specifically, we examine the heuristic process of judgment underlying vertical spillovers in TGSs and derive implications for the legitimacy construct and the analysis of spillover phenomena.
Motivated by Manski and Tamer (2002) and especially their partial identification analysis of the regression model where one covariate is only interval-measured, we present two extensions. Manski and Tamer (2002) propose two estimation approaches in this context, focussing on general results. The modified minimum distance (MMD) estimates the true identified set and the modified method of moments (MMM) a superset. Our first contribution is to characterize the true identified set and the superset. Second, we complete and extend the Monte Carlo study of Manski and Tamer (2002). We present benchmark results using the exact functional form for the expectation of the dependent variable conditional on observables to compare with results using its nonparametric estimate, and illustrate the superiority of MMD over MMM.
This study investigates the impact of finishing versus dropping out of college on selfesteem. Using data spanning three decades from the U.S. National Longitudinal Survey of Youth, we find that dropping out of a four-year college significantly decreases selfesteem compared to graduating. In addition, two- and four-year college graduates have significant higher self-esteem than high school graduates never enrolled in college. However, individuals dropping out of a two- or a four-year college miss out on this positive effect. These findings are long-term effects still visible when dropouts are in their late 40s.
Using data from the Tennessee Student/Teacher Achievement Ratio experiment and subsequent follow-up surveys, we estimate unconditional quantile treatment effects of being assigned to a small-size class and a regular-size class with an aide, compared to regular-size one. Results show that mid-achievers profit the most from being assigned to a small class. Students at the bottom or top of the achievement distribution experience almost no gain. The analysis also reveals a positive and significant effect of a regular class with teacher's aide for students at the bottom of the achievement distribution, an effect stronger for boys and disadvantaged pupils. In line with previous research, we show that being assigned to a small class during K-3 grades has a positive effect test scores in later grades, on the likelihood of on-time high school graduation, and on taking the ACT/SAT exam. However, these positive effects are driven mostly by students who were high achievers during Project STAR, suggesting that the long-term benefits of being in a small class shrink very quickly for low- and mid-achieving students.
In this paper, we examine the long-term effects of high school exit exams (HSEEs) on graduation rates and achievement using an interrupted time series approach. We find that introducing a HSEE has an overall positive effect on graduation rate trends, an effect which is heterogeneous over time. In the year of introduction and the following three years we find a negative impact of HSEE on graduation rates; this negative impact is short-lived and becomes positive over the long term. We perform robustness checks using states that do not have HSEEs as control group. We also estimate a pre-intervention negative effect, suggesting that high schools start preparing for the HSEE before its actual introduction. We find no effects for achievement, possibly due to the lack of meaningful cross-state achievement data in the time period studied.
Organizational performance is an important concept in strategy research. In this paper, we interrogate the predominant focus on organizational performance as an aggregate organizational-level dependent variable and review three ways in which its role might be fruitfully reconsidered: (1) broadening consideration of performance to more disaggregated levels of analysis, (2) orienting research around the idea of performance as both input and outcome and finally (3) recasting performance in terms of performativity. We provide examples of research that has adopted each of these alternative approaches. We then examine the contributions and drawbacks of each perspective, before proposing an agenda for future research.
Weshalb nicht eigene Mitarbeitende in Social Networks neue Mitarbeitende anwerben lassen? Nur wer die Wirkungsmechanismen von Mitarbeiterempfehlungen und Social Media versteht, kann sie zielführend verknüpfen.
Trade-offs between competitive priorities are often seen as exogenous – managers accept them as a given downside while simultaneously addressing multiple competitive priorities. However, some companies seem to face fewer trade-offs than others. The question is how companies reduce their trade-offs to successfully compete on multiple competitive priorities simultaneously. We address this question by theorising that bundles of action programmes are needed to reduce trade-offs between competitive priorities. We examine four Swiss manufacturing plants and show how the selection of action programmes influences the simultaneous competition on multiple competitive priorities. We show that successful competition on multiple competitive priorities does not happen by accident but is achieved by aligning competitive priorities, action programmes, infrastructural/structural changes and contextual factors.
