Unraveling legitimation strategies of Chinese Internet start-ups. Issue 2 (1st June 2015)

• Record Type: Journal Article
• Authors: Song Lin, Prof. Philippe Lasserre, Prof.; Su, Xiaohua; Peng, Haidong; Zhang, Shujun; Rong, Yun
• Is Part Of: Chinese management studies. Volume 9:Issue 2(2015)
• Page Start: 239
• Page End: 258
• Publication Date: 2015-06-01
• Subjects: Industrial management -- China -- Periodicals; 658.400951
• DOI: 10.1108/CMS-12-2014-0235
• Languages: English
• ISSNs: 1750-614X

Abstract

<abstract> <title> <x content-type="archive" xml:space="preserve">Abstract</x> </title> <sec> <title content-type="abstract-heading">Purpose</title> <p> – The purpose of this paper is to explore the legitimacy needs and legitimation strategies of Internet start-ups in the context of industry dynamism. </p> </sec> <sec> <title content-type="abstract-heading">Design/methodology/approach</title> <p> – The purpose of this paper is to explore the legitimacy needs and legitimation strategies of Internet start-ups in the context of industry dynamism. </p> </sec> <sec> <title content-type="abstract-heading">Findings</title> <p> – 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. </p> </sec> <sec> <title content-type="abstract-heading">Research limitations/implications</title> <p> – 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. </p> </sec> <sec> <title content-type="abstract-heading">Practical implications</title> <p> – This paper suggests that industry dynamism should be taken into account carefully when implementing a choice of legitimation strategies. </p> </sec> <sec> <title content-type="abstract-heading">Originality/value</title> <p> – This study makes an attempt to further our understanding of how industry dynamism influences firms' choices of legitimation strategies.</p> </sec> </abstract>