The Mechanism Of Exploiting Institutional Entrepreneurship From The Perspective Of Stakeholders

The essence of China’s transitional economy is institutional change, which stimulates privately-held enterprises to engage in institutional entrepreneurship. The essence of institutional entrepreneurship mechanism is that institutional entrepreneurs acquire organizational legitimacy by implementing strategies of institutional entrepreneurship based on the different stakeholders. Therefore, it’s beneficial for disclosing institutional entrepreneurship mechanism by the research from the perspective of the stakeholders.This study is based on previous theoretical results and China’s transitional economy, and choose Geely Automobile, the typical exploiting institutional entrepreneur as the case sample, using Nvivo10.0 encoding software, to investigate the institutional constraint during its entrepreneurship from the perspective of stakeholders.We chose Geely Automobile’s institutional entrepreneurship based on dividing the stages of institutional entrepreneurship, this paper analyzes the main types of institutional constraint and institutional entrepreneurship strategies used by actors in different stages. And then to explore the exploiting model of institutional entrepreneurship mechanism. The conclusions are as following:Firstly, the process of institutional entrepreneurship can be divided into three stages, including establishing foundation of innovation, theorization and promotion of new institutions. According to four dimensions:the importance, the willings, the legitimacy, the normativeness, we can divide the stakeholders into three group:the core stakeholders, the dormant stakeholders and the marginal stakeholders; Secondly, Stakeholders played an important role in obtaining legitimacy. The key to success is based on different stakeholders using different strategies to interact with each other. So as to meet the various stakeholders’interests and demands an then obtain the appropriate legitimacy. Thirdly, during the first stage, the exploiting institutional entrepreneurs mainly confront institutional constraint of normativeness from the enterprise itself. During the second and the third stages, entrepreneurs mainly confront institutional constraint of regulation. Fourthly, the exploiting institutional entrepreneurs mainly apply rhetorical strategies on the dormant stakeholders during the first stage.The exploiting institutional entrepreneurs mainly apply rhetorical strategies and theorization strategies on the core stakeholders and the dormant stakeholders, while applying theorization strategies on the marginal stakeholders.During the last stage, the entrepreneurs mainly apply rhetorical strategies and social network strategies on the core stakeholders, the entrepreneurs mainly apply network strategies and culture strategies on the dormant stakeholders the marginal stakeholders. Fifth, institutional entrepreneurship strategies have a clear point on stakeholders. This point has different performance in different stages. And the institutional constraints during its entrepreneurship. As institutional entrepreneurs are faced different institutional constraints, and institutional constraints consist of regulation institutional constraints, normative institutional constraints, institutional system constraints. It regularly impede the acquiring of organizational legitimacy. So in order to obtain legitimacy, the entrepreneurs apply different entrepreneurship strategies based on different institutional constraints.This papple is based on the theory achievements of predecessors, and combine with the stakeholder theory. Then explore the exploiting model of institutional entrepreneurship mechanism. This paper not only enriches the research context and the existing theories, but also expands the research on institutional entrepreneurship and promotes the development of institutional entrepreneurship theory in china. And finally this paper constructs the model of exploiting institutional entrepreneurship.