Institutional Theory

The video tutorial explores institutional theory, focusing on how organizational structures, rules, and norms are shaped more by social forces than economic ones. It highlights the role of social pressures, such as ethics and local culture, in influencing organizational behavior and structure adoption. The theory emphasizes understanding these social elements to comprehend organizational dynamics.

Why is it important to understand the role of social forces in shaping management practices?

What distinguishes social pressures from technical pressures in the context of organizational behavior?