Javascript is not activated in your browser. This website needs javascript activated to work properly.
You are here

Social influence and corporate behaviour - A case study of interdependent decision-making in Sweden's publicly traded firms

  • Christofer Edling
  • R. Sandell
Publishing year: 2001
Language: English
Pages: 389-399
Publication/Series: European Sociological Review
Volume: 17
Document type: Journal article
Publisher: Oxford University Press
Additional info: 4

Abstract english

In the course of a few months in 1997, about 20 per cent of Stockholm Stock Exchange's primary-list firms transferred to the Exchange's secondary list due to a new tax policy. Drawing on a theory of social influence, we suggest that the transfer decisions depended both on the firms' social embeddedness with other firms in the population at risk and their economic predisposition to make such transfers. We model such transfer decisions as a continuous stochastic process by utilizing event-history techniques. The analysis is performed on data that are exceptionally good for both network and event-history analysis: they include the whole population of firms at risk in a complete observation window. Our results indicate that the decision to transfer was a function of the firms' economic predisposition and their social embeddedness in terms of board interlocks. The special features of our data in combination with our findings suggest that our results should have a broader application: Ignoring social interdependencies at the micro level when attempting to explain the rationale for strategic decisions at the firm level in a group of firms belonging to the same system is likely to miss some of the most important driving forces behind strategic decision making.


  • Sociology (excluding Social Work, Social Psychology and Social Anthropology)
  • network
  • sociology
  • sociologi
  • models
  • isomorphism


  • ISSN: 0266-7215
Christofer Edling
E-mail: christofer [dot] edling [at] soc [dot] lu [dot] se


Faculty of Social Sciences

+46 46 222 88 62



Centre for Economic Demography




+46 46 222 88 62




I earned my PhD from Stockholm University in 1999. Between 2002 and 2005 I was Torgny Segerstedt Pro Futura Fellow at the Swedish Collegium for Advanced Study at Uppsala University. I received my Docent-title in 2003, and was appointed Associate Professor at Stockholm University in 2004. From 2006 to 2008 I was Head of the Department of Sociology at Stockholm university. Before coming to Lund in 2012 I served as Full Professor of Sociology at Jacobs University, Bremen, Germany. I have been a fellow at Wissenschaftskolleg zu Berlin (2004/05) and Stellenbosch Institute for Advanced Study (2013).

Department of Sociology
Lund University
Visiting address: Sandgatan 11, House G, Lund
Postal address: Box 114 , SE-221 00 LUND, SWEDEN
Telephone: Student Office +46 46-222 88 44, Lund University Switchboard +46 46-222 00 00

Faculty of Social Sciences