Population Ecology
A Population ecology model of organizational birth
1. Population ecology theory: A Theory that seeks to explain the factors that affect the rate at which new organizations are born in a population of existing organizations
Population of organizations: The organizations that are competing for the same set of resources in the environment
Environmental niches: Particular sets of resources
2. Population ecology model Number of births determined by the availability of resources
Population density: The number of organizations that can compete for the same resources in a particular environment
Two factors that produce rapid birthrate:
1. Availability of knowledge & skills to generate similar new organizations
2. New organizations that survive provide role models and confer legitimacy
As the environment is populated with a number of successful organizations, birthrate tapers off because of following two factors:
1. Fewer resources are available for newcomers
First-mover advantages: Benefits derived from being an early entrant into a new environment
2. Difficulty of competing with existing companies
2 Sets of Survival strategies
1. Strategies that organization can use to gain access to resources/enhance chances of survival
2. r-strategy versus K-strategy r-strategy: A strategy of entering a new environment early, providing first-mover advantages which facilitate core competencies/rapid growth K-strategy: A strategy of entering an environment late, after other organizations have tested the environment Its pursued by those established in other environments
Greiner proposes 5 sequential growth stages Stage 1: Growth through Creativity Stage 2: Growth through Direction Stage 3: Growth through Delegation Stage 4: Growth through Coordination Stage 5: Growth through Collaboration
Each stage results in a crisis
Advancement to the next stage requires successfully resolving crisis in previous stage
§ Each
1. Population ecology theory: A Theory that seeks to explain the factors that affect the rate at which new organizations are born in a population of existing organizations
Population of organizations: The organizations that are competing for the same set of resources in the environment
Environmental niches: Particular sets of resources
2. Population ecology model Number of births determined by the availability of resources
Population density: The number of organizations that can compete for the same resources in a particular environment
Two factors that produce rapid birthrate:
1. Availability of knowledge & skills to generate similar new organizations
2. New organizations that survive provide role models and confer legitimacy
As the environment is populated with a number of successful organizations, birthrate tapers off because of following two factors:
1. Fewer resources are available for newcomers
First-mover advantages: Benefits derived from being an early entrant into a new environment
2. Difficulty of competing with existing companies
2 Sets of Survival strategies
1. Strategies that organization can use to gain access to resources/enhance chances of survival
2. r-strategy versus K-strategy r-strategy: A strategy of entering a new environment early, providing first-mover advantages which facilitate core competencies/rapid growth K-strategy: A strategy of entering an environment late, after other organizations have tested the environment Its pursued by those established in other environments
Greiner proposes 5 sequential growth stages Stage 1: Growth through Creativity Stage 2: Growth through Direction Stage 3: Growth through Delegation Stage 4: Growth through Coordination Stage 5: Growth through Collaboration
Each stage results in a crisis
Advancement to the next stage requires successfully resolving crisis in previous stage
§ Each