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Legitimizing Innovative Ventures Strategically – The Case of Europe's First Online Pharmacy
Abstract
Organizational legitimacy is a key resource that is necessary for every venture to acquire other crucial resources, which will subsequently stimulate growth. The authors illustrate this legitimacy-growth relationship by analyzing the case of Europe’s first online pharmacy DocMorris. Given that this ICT venture started as extremely illegitimate, this case provides a rich background to identify various strategies that are potentially helpful to enhance a venture’s level of legitimacy. Building on interview data collected from the firm’s key actors, the authors are able to show how the perception of a firm’s legitimacy from the viewpoint of various internal and external stakeholders can be managed strategically.
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