BUS 374 Lecture Notes - Lecture 8: Structural Change, Authority Control, Main Source

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A political mediation model of corporate response to social. This paper uses a theory of social movement outcomes, the political mediation model, to explain why certain corporations targeted by boycotts are more likely to concede to boycotters" demands. Results from analyses of a sample of corporate boycotts reported in major national newspapers in the. U. s. between 1990 and 2005 provide support for the political mediation model. Corporate targets of boycotts were more likely to concede when the boycott received a great deal of media attention. The effect of media attention was amplified when the corporate target previously experienced a decline in its reputation. The paper by king helps us understand how power and politics from external stakeholders influence business actions and decisions. On the other hand, the material on power and politics explain how internal power and politics develop in organizations. By understanding these two elements, you should be able to explain the political economy of an organization.

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