Aesthetics and Style in Strategy: Volume 42

The concept of style is gaining momentum in organizational research. Focussing on its implications for strategy, this paper presents a conceptual and methodological framework to make the notion of style operational and applicable to both research and practice. Style is defined here as a combinatorial, socially situated and semiotic device that can be organized into typologies – recurrent combinations of stylistic dimensions exerting a normative and semiotic function within and across contexts. The empirical analysis, situated in the field of electronic music, considers the music genres and the colour dimension of artists' appearance as components of their style. Results show how coherent style typologies normatively dominate the field and how non-conformist but coherent typologies correspond to superior creative performance. Operating as unifying device, style can transform varied and potentially confounding traits into distinctiveness and shed light on competitive market dynamics that cannot be fully explained via other theoretical constructs.

Drawing on sociolinguistics, this chapter proposes an encoding–decoding perspective on evaluation, conceptualizing codes as interpretive schemas that are encoded by firms and decoded by audiences. A key element in this process is code complexity, denoting combinations of interdependent elements. We demonstrate that the evaluation of code complexity depends on the type of audience (professionals and laypersons) and the type of complexity (technological and aesthetic). We analyze the attribution of awards by professionals and the public in luxury watchmaking, featuring three mechanisms: the social embeddedness of audiences, their motivation for evaluation and supply-and-demand matching. The results attest to significant differences in the evaluation of technological and aesthetic code complexity by professionals and laypersons. There is a premium attributed to aesthetic code complexity by professionals and a premium attributed to technological complexity by laypersons. Finding the right type and level of code complexity to pursue in their offerings is a key strategic challenge for producers.

This work examines the interplay between power, status and style. Building on the dual role of power and status as two primary sources of social influence in contemporary consumer society, we propose that stylistic choices associated with greater status can imbue the wearer with greater feelings of power. We focus on a pervasive stylistic choice for women – whether to wear heels – and test two critical relationships regarding consumers' choice of heels that can act as a bridge between status and power. First, we propose that the stylistic choice of wearing heels increases wearers' perceived status (but not perceived power) – the heeled status-enhancement hypothesis, whereby (1) wearing heels increases wearers' perceived status (but not perceived power) among observers and (2) lacking power (vs having power or baseline) yields greater desire for heels over flats. Second, we propose that an increase in status stemming from wearing heels increases consumers' feelings and behaviours of high power – the status–power transfer hypothesis. Three studies confirm the use and perception of heels as status symbols and provide support for both hypotheses. We show that wearing heels (vs flat shoes) makes individuals feel and behave more powerfully by thinking more abstractly and taking more actions, two hallmarks of high power, but only when heels are worn conspicuously (i.e., the wearer knows the observer sees them). In addition, these effects are mediated by wearer's feelings of power and unexplained by perceptions of sexiness. Implications for the literatures on style, status, power and conspicuous consumption are discussed.

In small group settings, is it the position in social networks or the content of communication that constitutes a leader? Studies focussing on the content suggest that leadership consists in creating and promoting meanings, whereas studies focussing on the connections stress that it is the network position that ‘makes a leader’. These two dimensions of leadership communication style have not been compared yet. To fill this gap, this chapter applies an emerging approach – socio-semantic network analysis – to jointly consider the content of, and the connections, in leaders' communication. Using a multisource dataset, we empirically study the social network positions (social network analysis) and the content of communication (semantic network analysis) of three leaders in a creative collective. Our findings reveal that different styles of leadership make diverse use of the content and the connections in a small group. The academic and practical implications are outlined.

Strategy scholars have widely recognized the central role that narratives play in the construction of organizational identities. Moreover, storytelling is an important strategic asset that firms can leverage to inspire employees, excite investors and engage customers' attention. This chapter illustrates how advancements in computational linguistic may offer opportunities to analyze the stylistic elements that make a story more convincing. Specifically, we use a topic model to examine how narrative conventionality influences the performance of 78,758 craftsmen selling their handmade items in the digital marketplace of Etsy. Our findings provide empirical evidence that effective narratives display enough conventional features to align with audience expectations, yet preserve some uniqueness to pique audience interest. By elucidating our approach, we hope to stimulate further research at the interface of style, language and strategy.

This paper highlights that the strategic use of design, a competitive pattern typically associated with creative industries, those creating and trading meanings, also characterizes industries that produce functional or utilitarian goods not typically considered creative. The paper explores the origins of this phenomenon in the context of three industry settings: cars, speciality coffee and personal computers. The analysis theorizes three distinct strategic paths that explain how design may become an institutionalized aspect of competition in industries that are not creative. We explain how firms link their products to the identities of their users, how design is linked to stakeholders' emotions and visceral reactions to products and how intermediaries are relevant to enhancing attention to design. Illuminating these strategic paths allows harnessing some of the well-established understandings about competition in creative industries towards understanding competition in noncreative industries.

Mastering aesthetics is a precious source of competitive advantage in creative industries. In fashion, innovation is reflected by how and how much styles change. Elite designers claim to be the only endogenous force shaping fashion innovation season by season. Yet, each season, fashion critics vet the new collections these designers introduce, assessing what is original as opposed to reworked and uninspired, in this way playing a fundamental role as gatekeepers in setting taste within the industry. In this research, we document how stylistic innovation, vis-à-vis the styles premier design houses introduced each season, is impacted, among the others, by the specific exogenous force of critics' assessments of designers' past work. Our data, which include 61 measures detailing the styles introduced by 38 prestigious Italian and French design houses over a nine-year period, suggest designers move further away from styles reviewed less favourably while adhering more closely to styles reviewed more positively. Additionally, the styles a designer introduces are shown to depend on critical assessments of competing designers' styles, revealing how design houses attend to each other's work. This work documents the strong correlation between style dynamics and critics' feedback. It also has important implications for any company trying to find a balance between independence and conformity in setting its own unique positioning into the market.

This work addresses how consumer perceptions of quality may be influenced by the composition of competition. I develop a theoretical framework that explains how consumer evaluations of quality can be negatively impacted by a product's stylistic similarity to popular competitors. These issues are examined empirically using more than 75,000 online consumer evaluations, from the evaluation aggregator Rotten Tomatoes, of 123 feature films released in the United States during 2007. Results suggest that during a movie's opening week, movies that are stylistically similar to the top-performing box office movie are evaluated less favorably. Additional analyses indicate that this negative effect may persist in later periods due to social conformity pressures, and that there is reduced demand for those movies that are stylistically similar to the top box office performer. This article contributes to the broader literature in strategic management by depicting how stylistic features of competitors can affect consumer behaviour and perceptions of quality in markets. This work also suggests managerial implications for entry-timing decisions and positioning choices.

How do cultural organizations handle the competing demands of isomorphism and differentiation? Strategic balance theory is a promising point of departure. Proponents argue that while isomorphism contributes to legitimacy, differentiation minimizes competition through innovation or niche control. However, most research has focused on successful cases of optimal performance in core or world cities. I introduce data from three seasons (250+ hours) of ethnographic research on fashion weeks in both a core city and semi-peripheral city. I find that geography acts as a structural barrier to competition: while semi-peripheral producers pursue some standards of fashion capitals in world cities, they cannot compete on the basis of style. Rather than optimizing through strategic balance, cultural organizations embrace a double edge of legitimation. Their sub-optimal vision of organizational survival cultivates legitimacy from available but symbolically polluting sources. Imperfect imitation is suggested instead as a viable legitimation strategy. I call for more attention to semi-peripheral geography and imperfect imitation in culture industry research.