The Introduction of a Non-Traditional and Aggressive Approach to Banking: The Risks of Hubris [Book Review]

Journal of Business Ethics 102 (3):401-420 (2011)
This study integrates institutional theory and social cognitive theory to describe how peripheral organizations can accidentally bring about radical change even in highly institutionalized and change-resistant fields. The empirical context is the field of banking in Ireland (1995–2001), where a peripheral bank triggered a shift away from traditionally conservative and risk-averse banking values toward aggressive values of entrepreneurial risk taking. The introduction of a new approach to banking was attributed to three factors: (1) a benevolent environment, which made this innovation feasible and timely, (2) the state of the field, which had gaps that could be addressed through specialization, and (3) prior successes, which created hubris in the senior managers, thereby increasing the pace and scope of adoption of this approach. Eventually, what started as a specialized and entrepreneurial approach led to the spread of a risky approach to banking across the entire field. The study highlights the risks of hubris, in that media praise and early successes can increase the pace of adoption of innovations which offer short-term gains but are detrimental in the long term
Keywords institutional entrepreneurship  change  social cognition  ethics  banking  hubris
Categories (categorize this paper)
DOI 10.1007/s10551-011-0821-1
 Save to my reading list
Follow the author(s)
My bibliography
Export citation
Find it on Scholar
Edit this record
Mark as duplicate
Revision history Request removal from index
Download options
PhilPapers Archive

Upload a copy of this paper     Check publisher's policy on self-archival     Papers currently archived: 15,879
External links
Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
Through your library
References found in this work BETA
N. Denzin & Y. Lincoln (1994). Handbook of Qualitative Research. British Journal of Educational Studies 42 (4):409-410.

Add more references

Citations of this work BETA
Boudewijn de Bruin (2013). Epistemic Virtues in Business. Journal of Business Ethics 113 (4):583-595.

Add more citations

Similar books and articles

Monthly downloads

Added to index


Total downloads

17 ( #156,936 of 1,725,169 )

Recent downloads (6 months)

1 ( #349,103 of 1,725,169 )

How can I increase my downloads?

My notes
Sign in to use this feature

Start a new thread
There  are no threads in this forum
Nothing in this forum yet.