An Investigation on Institutionalization of Websites of Firms

Abstract

Websites as an IT artifact have been utilized by companies for over a decade. The structure of websites may show isomorphic patterns, explainable by the conformity of firms to institutional pressures. However, there is insufficient evidence in prior literature to confirm the existence of such patterns. Following institutional theory, we examined website structures of firms. We selected industry sectors and firm reputation levels as institutional forms. Based on a sample of 28 Fortune 500 firms, we conducted content analysis using a descriptive taxonomy provided by Piccoli et al. (2004). The results revealed 1) that websites of firms are isomorphic within an industry sector, but polymorphic across industry sectors, and 2) websites of firms do not differ across reputation levels. These results are discussed in depth, and managerial implications are suggested.