 Legitimacy perceptions amid institutional pluralism: How hype over decoupled practices influences entrepreneurial venturesApril J. Spivack, Tom Lahti, Thommie Burström and Joakim Wincent Journal of Business Venturing, 2025, vol. 40, issue 4 Abstract: Drawing on a qualitative case study of hype around an entrepreneurial venture, we develop a three-phase process model detailing how firm-level hype influences volatility in perceived legitimacy. We detail how hype over a new venture's practices, including coupling and decoupling, may boost legitimacy in the short term, but may also lead to long-term risks of accelerated legitimacy loss. Positively, hype amplifies excitement over new business models that may use decoupling to solve existing problems in new ways, thereby rapidly inflating perceived legitimacy. Negatively, hype triggers moral questioning, whistleblowing, and moral panicking over decoupled practices that contradict core institutional logics, thereby accelerating perceived legitimacy loss. We highlight the dynamism and intensity of hype's influence on perceived legitimacy and question the viability of decoupling as a long-term strategy for new ventures in contexts of institutional pluralism. Keywords: Hype; Institutions; Legitimacy; Decoupling; Moral panic (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jbvent:v:40:y:2025:i:4:s0883902625000333 DOI: 10.1016/j.jbusvent.2025.106505 Access Statistics for this article Journal of Business Venturing is currently edited by S. Venkataraman More articles in Journal of Business Venturing from Elsevier |
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