Institutional theory

Institutional theory is a way of thinking about how organizations and societies work. It basically means that people, organizations, and societies change their behavior and attitudes over time to conform to what they believe is socially accepted or important. It means that organizations, like companies, schools, and governments, can change in ways that fit in with what is seen as normal in society, even though the organization may not want to change in this way. For example, if most companies in a certain industry all follow certain practices, then other companies in that industry may start to follow those same practices even if they don't want to. This is institutional theory in action.