How Newcomers Gain Institutional and Innovative Legitimacy

What is it about?

This conceptual article develops a framework explaining how newcomers gain legitimacy when entering established business fields. Drawing on Bourdieu’s social theory, it distinguishes two complementary forms of legitimacy: institutional legitimacy—earned by conforming to existing norms (“fitting in”)—and innovative legitimacy—achieved by challenging them (“standing out”). The model argues that newcomers must balance both forms to be accepted as entrepreneurs within existing power dynamics. For practitioners, this framework highlights the challenges of entering established industries or markets where norms, expectations, and hierarchies already exist. Success requires demonstrating both respect for prevailing standards and the capacity to innovate in meaningful ways. Entrepreneurs who can manage how their actions are interpreted—showing that they belong while offering something distinctive—are more likely to gain credibility and support from influential stakeholders.

Featured Image

Photo by Vitaly Gariev on Unsplash

Photo by Vitaly Gariev on Unsplash

Why is it important?

This paper deepens theoretical understanding of legitimacy by distinguishing between its institutional and innovative dimensions and by conceptualizing legitimacy as something bestowed by incumbents rather than self-claimed. It also discusses the idea that legitimacy involves navigating conflicting expectations, showing how entrepreneurs and other newcomers can strategically manage meaning and perception within the field. This dual focus enriches discussions about how legitimacy both reinforces and transforms existing structures. As markets evolve and competition intensifies, the tension between fitting in and standing out becomes increasingly relevant. This conceptual framework provides a timely lens for understanding how entrepreneurs secure recognition in shifting institutional contexts and how their actions can simultaneously sustain and reshape the systems they enter.