Institutionalism, news organizations and innovation

Abstract

This study adopts new institutional theory from the sociology of organizations, as well as concepts from the study of social networks, to help explain news organizations' struggles to innovate in the face of uncertainty. This literature suggests organizations with institutional orientations tend to adopt fleeting change, following industry trends, or even buffering internal processes from innovation in the product. In contrast, organizations that network with markets and readers tend to adopt more substantial change. Factors shaping managers' decision-making are explored, with a particular focus on the role environmental uncertainty plays in news organizations pursuing connections within the news institution (strong ties) or with audiences (weak ties). Data from a survey of news organizations and an analysis of features on their websites suggest levels of innovation are low, and institutionalist tendencies dominate decision-making about product change. Where innovation occurs, it is due to corporate coercion and resources, and concrete evidence from the organization's market. Uncertainty about audiences and technologies tends to reinforce institutionalist tendencies by encouraging managers to follow present industry trends. Uncertainty does seem to fuel the news organization's internal capacity to innovate, but it does not lead to actual changes in website features. This suggests news organizations are decoupling internal processes from external processes-more evidence of an institutional orientation. © 2011 Taylor & Francis.