TY - JOUR
T1 - The impact of media on the legitimacy of new market categories
T2 - The case of broadband internet
AU - Schultz, Patrick L.
AU - Marin, Alejandra
AU - Boal, Kimberly B.
PY - 2014/1
Y1 - 2014/1
N2 - Building on research in institutional theory and market categories, we argue that media coverage, through the effects of cognitive and sociopolitical legitimacy, influence the creation of new market categories. Using data on the broadband access industry, we develop and test a media coverage model of market category entries, demonstrating the legitimacy effects of media-based information exchange on the emergence of new market categories. We include two post hoc analyses on mediation effects to test the relationship between population density and media coverage. These results indicate a possible mediation relationship, which we discuss in the implications of our study.
AB - Building on research in institutional theory and market categories, we argue that media coverage, through the effects of cognitive and sociopolitical legitimacy, influence the creation of new market categories. Using data on the broadband access industry, we develop and test a media coverage model of market category entries, demonstrating the legitimacy effects of media-based information exchange on the emergence of new market categories. We include two post hoc analyses on mediation effects to test the relationship between population density and media coverage. These results indicate a possible mediation relationship, which we discuss in the implications of our study.
KW - Industry dynamics
KW - Institutional theory
KW - Legitimacy
KW - Media
KW - New market categories
UR - http://www.scopus.com/inward/record.url?scp=84887191099&partnerID=8YFLogxK
U2 - 10.1016/j.jbusvent.2012.11.001
DO - 10.1016/j.jbusvent.2012.11.001
M3 - Article
AN - SCOPUS:84887191099
VL - 29
SP - 34
EP - 54
JO - Journal of Business Venturing
JF - Journal of Business Venturing
SN - 0883-9026
IS - 1
ER -