The adoption of the M-form organizational structure: A test of imitation hypothesis

The adoption of the M-form organizational structure: A test of imitation hypothesis

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Article ID: iaor198874
Country: United States
Volume: 34
Issue: 10
Start Page Number: 1188
End Page Number: 1201
Publication Date: Oct 1988
Journal: Management Science
Authors: , ,
Keywords: innovation, stochastic processes
Abstract:

The study of organizational adoption of administrative innovations has been generally guided by the imitation hypothesis. This hypothesis states that, within a relevant population of firms, an innovation is first adopted by a select few innovators who communicate and influence others to adopt it resulting in a predictable diffusion pattern. Using data on the adoption of the M-form organizational structure, this paper reexamines this hypothesis. Based on the reported results, we cannot reject the null hypothesis that organizational adoption of administrative innovations is characterized by a white-noise process. This result brings into question the appropriateness of the imitation hypothesis. Limitations and implications of the results are discussed.

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