The Generation, Recognition and Legitimation of Novelty: Volume 77

The journey of novelty – from the moment it arises to the time it takes hold – is as fascinating as it is problematic. A new entity, to be recognized as such, needs to be differentiated from what existed before. However, novelty poses cognitive challenges that hamper its appreciation since it is difficult to form expectations about and make sense of something genuinely new. And since novel ideas, products, technologies, or organizational forms often violate existing practices and social structures, they are usually met with skepticism and resistance. In this introductory piece, we take stock of research into the challenges of generating, recognizing, and legitimating novelty. We review each paper in this volume and highlight the new perspectives and insights they offer about how individuals, teams, and organizations search for novelty, see novelty, and sustain novelty. Finally, we outline several research themes that, we believe, are worthy of further scholarly attention.

The concept of novelty is central to questions of creativity, innovation, and discovery. Despite the prominence in scientific inquiry and everyday discourse, there is a chronic ambiguity over its meaning and a surprising variety of empirical measures, which muddle the interpretation of prior findings and frustrate the consolidation of knowledge. To help dispel some of the unclarity, this paper presents a survey and synthesis of conceptualizations and operationalizations of novelty scattered across social, cognitive, and organizational studies. From this analysis, I advance the argument that novelty is generally regarded as a function of frequency or proximity, and in these two complementary perspectives, it is commonly bounded its empirical study and theoretical understanding. I further argue that contextual and temporal aspects are integral to the specification of novelty and primary contributors to its multifaceted nature.

Using a novel measure incorporating stylistic and acoustic data on recorded music from 1967 to 2017, we search for trends in the evolution of musical diversity in 125,340 albums. We find that temporal patterns of diversity differ for stylistic and acoustic data. We also find that the patterns differ dramatically by genre. Some genres, such as blues, jazz, and pop-rock, decrease in diversity over time; most other genres increase in diversity. The causes of these different trends present a puzzle for future research. We also find different patterns for recordings that made the Billboard 200 charts compared to all recordings, suggesting an association between selection processes driven by consumer popularity and diversity. Moreover, associations of diversity and industry structure found in prior research do not hold when we analyze data beyond the smaller sample of the more popular recordings found in Billboard. These findings have implications for many prior studies based exclusively on best-selling recordings

In this paper, we bridge the gap between imitation and creativity, as we examine whether and how it is possible to succeed in imitation, understood here as the intentional creation of alikeness and, at the same time, the production of something novel and valuable. By distinguishing processes of copying, echoing, and eluding, we scrutinize how different imitation processes intended to create alikeness lead to the emergence of novelty. Using empirical data from two distinct empirical fields, music and pharmaceuticals, we discuss if and how these processes may even lead to emulation and thus the emergence of novelty superseding the imitated original. We find that novelty emerges during processes of imitation from the interplay of a guiding structure obtained from existing originals and the performative variation embedded in processes of imitation. We thereby identify performance enactment, translations between an imitated core and surrounding opportunities as well as the generative effects of intellectual property regulation as key ingredients to foster emulative novelty.

Status constitutes a core research concept across the social sciences. However, its definition is still contested, and questions persist about its consequences. We begin with a flexible, provisional definition: status is a relational asset possessed by social actors insofar as they are highly regarded by highly regarded others. Using this definition as a backdrop, we develop a fourfold typology based on how status is used as an asset and from where it is derived. The typology allows us to explore the implications of considering status as either a quality signal or a good and of viewing status-conferring ties as either deference-based or dominance-based. We then consider the implications of our framework for the generation of novelty. Although status has been connected to many social and economic outcomes, because of competing predictions in the literature – the generation of novelty has been linked to all regions of the status distribution – we sketch intuitions for future research on the status–novelty linkage. We also work toward greater conceptual clarity by comparing and contrasting status with selected related concepts: quality, reputation, and legitimacy. We conclude with considerations for future research, including cautionary remarks regarding network-analytic measurement in light of the definition we propose.

Novel ideas emerge from conversational interaction dynamics in meetings that are organizational practices of interaction. Drawing from meeting science with a focus on multiparty talk in meetings as communicative events, we refer to interaction dynamics as sequences of verbal statements. We explore patterns of verbal statements in idea generation processes in an explorative, inductive field study of ministerial think tank meetings. These are recurring agile meetings with interactive, free-flowing communication. By utilizing the validated, fine-grained act4teams coding scheme, we differentiate between task-related, procedural, and socio-emotional statements made in these meetings. Our findings show that the interactions within agile meetings are characterized by intensified turn-taking, overlapping speech, and joint heightened involvement. By means of lag sequential analysis, we find that novel ideas emerge from interaction cycles of task and socio-emotional statements. Among the latter, active listening expressed by “mm” or “yeah” is of particular importance for triggering novel ideas. As such, we reveal the micro-level emergence of novel ideas in conversational interaction by highlighting the facilitative function of active listening.

Since initial demonstrations that categories are consequential for evaluation, scholars of organizations and markets have attended to dynamics in audience evaluations of category spanning. We consider how heterogeneity in evaluator engagement in a market may alter their evaluation of atypical candidates. In markets where evaluators self-propagate theories of diversification, atypical candidates are advantaged because they present a distinct and efficient opportunity to diversify. We argue that evaluator market engagement will (positively) moderate valuations of atypicality, as such evaluators will be better positioned to recognize atypical candidates and their alignment with prevailing theories of value. We find support for our contentions with data from an online peer-to-peer lending market, Prosper.com. Consistent with our hypothesis, we find that lender evaluation of these atypical borrowers is increasing in their market engagement: whereas lenders new to the market devalue atypical candidates, those who have made many evaluations evaluate atypicality positively.

Building on research showing the influence of temporal focus on decision-making, I argue that the propensity to invest in and support radically novel ideas depends on the degree to which the members of the evaluating audience focus on the present time. I conducted a series of experiments to study how a disposition to think more about the present shifts audience members’ evaluative responses to novelty. My findings show that audience members with a strong focus on the present are more willing to support radical than incremental ideas. I further probe the underlying cognitive process by unveiling the mediating role of idea uncertainty. Focusing on audience members’ subjective experience of time and integrating it with novelty recognition offers valuable insight into research on creativity, innovation, and, more generally, social evaluation.

Organizations may fail to innovate because receivers exhibit bias against adopting creative ideas. This paper explores many motivational, cognitive, and affective factors that can cause receivers to hinder the creativity–innovation process. In particular, receivers may engage in motivated reasoning and skepticism against creative ideas, face barriers to recognizing creative value, and experience negative affect when receiving creative ideas. Each creative adoption decision point during the creativity–innovation process is an opportunity for bias to derail progress. This helps explain why innovation can be so difficult. Understanding the biases that hinder the creativity–innovation process allows individuals and organizations to take action to mitigate them.

This paper addresses social interatcion and the formation of value beliefs in markets. It empirically examines value construction by analyzing rebidding behavior in online auctions, wherein individuals reassess the maximum price they would pay for a given product. Statistical analyses of more than 10,000 auctions containing more than 55,000 individual bids on the auction website eBay suggest that rebidding is positively associated with a lack of auction-internal price information and bidder inexperience. Analyses also suggest that engaging in rebidding is positively associated with an individual winning an auction. This work, therefore, helps to provide a deeper understanding about valuation, price formation, and the organization of markets. This work contributes to domains of research related to the construction of value and the emergence, evaluation, and legitimization of new products, services, and ideas.

Consecration is the process by which producers in creative fields become canonized as “greats.” However, is this the end of the story? Research on consecration focuses on the drivers of consecration but pays little attention to the post-consecration period. Furthermore, the research ignores the dynamics of consecration. To address these gaps, we examine the changing fortunes of a consecrated artist – the musician Phil Collins. We identify the ways in which three actors (fans, critics, and peers) assemble for consecration, disassemble for deconsecration, and reassemble for reconsecration. Examining the changing public image and commercial fortunes of Collins as a solo artist between 1980 and 2020, we identify an N-shaped process of rise-fall-rise that we call the Phil Collins Effect. This effect offers a new way of thinking about how cultural producers gain, lose and regain status in their fields.

Are radically novel practices more likely to attract recognition when the evaluating audience is composed of external evaluators? Our baseline argument asserts that radical novelty is more likely to be positively evaluated by an external audience and that peripheral (rather than core) producers have higher incentives to adopt novel practices that depart from tradition. Yet, because peripheral producers often lack the necessary support and legitimacy to promote novelty, audiences play a critical role in recognizing their innovative efforts. How can peripheral producers mitigate the challenges associated with novelty recognition? To answer this question, we explore how peripheral producers’ collaboration with acclaimed consultants affects the process of external audience recognition in the context of the Italian wine field from 1997 to 2006. Our findings suggest that radical novelty is positively received by an external audience composed of critics, although we do not find a significant difference between core and peripheral producers. However, external audiences are more open to recognizing peripheral producers’ use of novel practices when they collaborate with well-connected consultants. We find that the use of central consultants produces a “boosting” effect that accentuates the differences between evaluations of peripheral producers who embrace novelty and evaluations of those that follow the tradition. Our study thus advances theory by providing empirical evidence of the value of considering third-party actors such as consultants, who sit at the nexus between the agency required for innovation and external audiences’ recognition of novelty, when studying novelty evaluation and recognition.

Processes of novelty generation and adoption have received much more attention than novelty evaluation. This paper explores the internal processes enacted by organizations to recognize and assess novel ideas for further implementation by focusing on the role that artifacts play in identifying the creative potential of an idea versus another one. Our empirical study focuses on the evaluation of novelty in the form of new experiences and builds on the analysis of two highly creative organizations, elBulli restaurant, led by chef Ferran Adrià, and the Italian Drama Academy Nico Pepe. We find that organizations implement three distinct processes to evaluate the novelty of ideas: analyzing, structuring, and formalizing. In these processes, artifacts play a key role in making novel ideas tangible by anticipating audiences’ reactions, integrating the novelty generated into an organizational corpus of knowledge, and consolidating novel ideas for future applications. Our results show that these processes take place iteratively in all phases of the idea’s journey, increasingly leading to the collective identification and assessment of novelty.