The Development of Generic Corporate Identity in Professional Services Firms

Abstract

Purpose of this paper: This paper aims to provide an insight into how the notion of generic corporate identity develops within the professional services industry. Design/method/approach: Existing literatures on generic corporate identity are reviewed and a semiotic analysis of corporate identity statements in annual report of accounts of the big four professional services firms in the United States is presented to strengthen the argument for the subsistence of generic corporate identity not just in the banking industry but also within the framework of professional services firms. The weakness of existing theoretical literatures (in relation to their inability to explicate how generic corporate identity develops) is highlighted. Consequently, a new process model grounded on the notion of institutional isomorphism is presented to fill this gap. Findings: The new model presented in this study indicates that a generic corporate identity within an industry emerges through a four stage process namely (1) isomorphic conditions; (2) pressure; (3) compliance; (4) generic corporate identity. Theoretical implication: The generic corporate identity process model (advanced in this study) provides a theoretical clarification of how generic corporate identity emanates. This clarification gives insights insight into how the notion of generic corporate identity, which until date remains vague, fuzzy and unclear, develops. The study adds to existing knowledge on the theory of generic corporate identity and contributes towards an understanding of corporate identity theory in general. Practical implications: Insights into the elements that influence the development of a generic corporate identity imply that managers can map out plans that enable firms or clients to challenge or avoid the acquisition of generic corporate identities. By circumventing the development of generic corporate identity, firms develop distinct corporate identities, which position them competitively in the business environment. Limitation of study and future research direction: This is a conceptual study. There is a lack of empirical evidence to strengthen the arguments presented in this study. The absence of an empirical analysis, presents an opportunity for future research. Originality and value of paper: The review of literature indicates that existing studies on corporate identity has focused mainly of the factors that trigger the development of a generic corporate identity without a detailed explanation how this concept emerged. This paper makes a departure from extant theory and adds an original contribution to existing literature by providing a theoretical analysis, which gives an insight into the stage by stage processes that trigger the development of a generic corporate identity.