Green to Gone? Regional Institutional Logics and Firm Survival in Moral Markets

A growing body of scholarship studies the emergence moral markets—sectors offering market-based solutions to social and environmental issues. To date, researchers have largely focused on drivers firm entry into these values-laden sectors. However, we know comparatively little about postentry dynamics or determinants survival in markets. This study examines how regional institutional logics—spatially bound, socially constructed meaning systems that legitimize specific practices goals within a community—shape emerging Using unique panel firms entering first eight years U.S. green building supply industry, find (1) market logic amplifies impacts forces by increasing positive impact adoption negative localized competition survival, (2) proenvironmental dampens (3) complexity—the co-occurrence both logics region—negates traditional advantages de alio (diversifying incumbent) firms, creating an opportunity for novo (entrepreneurial entrant) compete more effectively. Our integrates research industry emergence, logics, address important gaps our knowledge regarding evolution growth entrepreneurship Funding: J. G. York thankfully acknowledges support from Michael Sherri Miske Faculty Research Award given Leeds School Business, University Colorado, Boulder.