The diffusion of contested practices across environments: Social movements’ boundary-bridging role

We examine the diffusion across country institutional environments of a corporate practice that is contested by potential adopters. We show that the diffusion process is in crucial ways driven by the mobilization of social movement activists in favour of the corporate practice in the target institutional environment. We further show that social movement activism is particularly relevant for the pioneering introduction of a foreign practice into a new institutional environment in the early stages of the diffusion process, while more conventional institutional pressures become relevant at later stages of the process. Results from the study of the adoption of the corporate governance practice ‘say on pay’ by Swiss companies between 2007 and 2012 largely support our hypotheses and underline the boundary-bridging role of transnationally connected social movement activists