The Open UniversitySkip to content

Legitimacy Needs as Drivers of Business Exit

Decker, Carolin (2008). Legitimacy Needs as Drivers of Business Exit. Gabler Verlag / DUV.

DOI (Digital Object Identifier) Link:
Google Scholar: Look up in Google Scholar


A diversified firm’s withdrawal from a business unit, i.e. business exit, is a significant phenomenon in management practice. Although divestitures are highly relevant in practice, the acquisition of business units attracts much more attention in strategic management research.
Carolin Decker develops and empirically applies a framework in which business exits serve the purpose of re-establishing a firm’s previously harmed legitimacy. She suggests four types of legitimacy needs that are to be satisfied with the divestiture of a business unit and the simultaneous pursuit of strategic reorientation. The author tests the theoretical framework with secondary data on 213 business exits. Her findings support the idea that legitimacy needs drive the likelihood of fit-enhancing business exits in divesting firms.

Item Type: Book
ISBN: 3-8349-9759-5, 978-3-8349-9759-3
Keywords: divestiture; business exit; German multi-business firms; sell-off; legitimacy
Academic Unit/School: Faculty of Business and Law (FBL) > Business > Department for Public Leadership and Social Enterprise
Faculty of Business and Law (FBL) > Business
Faculty of Business and Law (FBL)
Item ID: 54454
Depositing User: Carolin Decker-Lange
Date Deposited: 19 Apr 2018 11:12
Last Modified: 07 Dec 2018 11:05
Share this page:


Altmetrics from Altmetric

Citations from Dimensions

Actions (login may be required)

Policies | Disclaimer

© The Open University   contact the OU