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Understanding and Advancing the Concept of `Nonmarket'

Jean J. Boddewyn

Baruch College, City University of New York, Jean_Boddewyn{at}Baruch.Cuny.edu

The term nonmarket is increasingly applied to environments, institutions, organizations, and exchanges that are also labeled as noneconomic and social. Why has this new term been coined and widely adopted, and what are its distinct denotations? The author traces the development of this concept through four perspectives on nonmarket, which are integrated into an overarching definition, after relating them to major theories and pointing to major research challenges. The constituting and correcting of markets, firms, and noneconomic institutions are the central concerns of nonmarket studies that bear on all organizing projects.

Key Words: institutional theory • economic theory • business and its environment • nonmarket enactment • market theories of the firm • social embeddedness of economic action • organizational failures

Business & Society, Vol. 42, No. 3, 297-327 (2003)
DOI: 10.1177/0007650303257504
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