Strategy and legitimacy: Pharmaceutical companies' reaction to the HIV crisis

Jordi Trullen, William B. Stevenson

Producció científica: Article en revista indexadaArticleAvaluat per experts

24 Cites (Scopus)


This study shows that firms respond in strategic ways to institutional pressures that stem from social scandals. Through the formal analysis of the historical narrative of events, the authors studied how seven pharmaceutical companies reacted over the years to accusations of being socially irresponsible in dealing with the HIV virus in Africa. The analysis shows that institutional and task environmental factors interact to precipitate pharmaceutical companies' reactions. Although firms' behaviors were indeed affected by institutional pressures exerted by activist groups and the media, they did not passively adapt to these pressures. Instead, they decoupled their core technical activities from their policy announcements (by delaying the implementation of promised concessions) and used institutional pressure in the organizational field as a way of pursuing their own economic interests.

Idioma originalAnglès
Pàgines (de-a)178-210
Nombre de pàgines33
RevistaBusiness and Society
Estat de la publicacióPublicada - de juny 2006
Publicat externament


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