Struggling for existence: a study on the pragmatic legitimacy of Indonesian electronic payment companies
by Airlangga Surya Kusuma; Rangga Almahendra
International Journal of Technoentrepreneurship (IJTE), Vol. 4, No. 3, 2022

Abstract: Our study is interested in observing the legitimacy-seeking behaviours of electronic payment companies in Indonesia. We argue that in a growing industry, pragmatic legitimacy judgements of a company are derived from socio-cognitive constructs from external actors but rather occur at the individual level. We observe the interaction mechanism between openness to a new value system, positive affection, and company familiarity toward a pragmatic legitimacy judgement on electronic payment companies. This research utilised 211 participants and employed structural equation modelling - partial least square (SEM-PLS). This research found that openness to a new value system and positive affection positively represented pragmatic legitimacy judgement. This research also found that those relationships are moderated by company familiarity in different ways.

Online publication date: Wed, 23-Nov-2022

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