CRI Working Paper
No. 15
Date of Publication: December 2005

Authors:

  • Michael Lomax

Summary

In this article, we respond to calls by previous researchers to clarify the function of decentralized institutions by analyzing the strategic motives of individual actors. We investigated an important type of decentralized institution, certified management standards, and theorized that firms use these institutions to reduce problems that might arise with exchange partners that lack information or fear opportunism. We tested this theory using the pattern of certification with the ISO 14001 management standard.

Citations

King, Andrew, Michael Lenox, and Ann Tarlaak. "The Strategic Use of Decentralized Institutions: Exploring Certification with the ISO 14001 Management Standard." Working Paper No. 15. CSR Initiative at the Harvard Kennedy School, December 2005.