From plan to plant: effects of certification on operational start-up in the emergent independent power sector

From plan to plant: effects of certification on operational start-up in the emergent independent power sector

0.00 Avg rating0 Votes
Article ID: iaor20082302
Country: United States
Volume: 18
Issue: 4
Start Page Number: 578
End Page Number: 594
Publication Date: Jul 2007
Journal: Organization Science
Authors: , ,
Keywords: energy
Abstract:

In this paper, we study the transition from planned venture to operational start-up in the emergent independent power sector. Planned ventures face tremendous obstacles in assembling the resources necessary to begin operations; we hypothesize and show that formal certification from authorized actors increases the likelihood of making this transition. Moreover, we find that the effects of certification are contingent on the legitimacy of the sector as a whole: Certifications have a stronger effect on start-ups when sector legitimacy is low than when it is high. This research helps us understand a rarely studied organizational transition – from entrepreneurial intention to actual operations – within nascent sectors. It directs attention to the legitimating effects of formal certification, highlights the importance of a multilevel approach to legitimacy, and contributes to the growing rapprochement between entrepreneurial studies and institutional theory.

Reviews

Required fields are marked *. Your email address will not be published.