Self-reinforcing mechanisms drive organizations into stages of lock-in.

Evidence

To enable a better understanding of the underlying logic of path dependence, we set forth a theoretical framework explaining how organizations become path dependent. At its core are the dynamics of self-reinforcing mechanisms, which are likely to lead an organization into a lock-in. By drawing on studies of technological paths, we conceptualize the emergent process of path dependence along three distinct stages. We also use the model to explore breakouts from organizational path dependence and discuss implications for managing and researching organizational paths. — Jörg Sydow, Georg Schreyögg, and Jochen Koch, Organizational Path Dependence, 2

Categorization

• DEFINE: Introduces the framework’s core terms: self-reinforcing mechanisms, lock-in, and three emergent stages.
• QUESTION: What exactly separates stage two from stage three, and are breakouts possible from any stage or only before full lock-in?
• XREF: connects to: High setup costs and sunk investment make institutional arrangements self-stabilizing. — Daryl Levinson and Benjamin I. Sachs, Political Entrenchment and Public Law, 197