Strategic Choice vs Determinism Theories

STRATEGIC CHOICE VS DETERMINISM THEORIES 1
Strategic choice vs Determinism theories
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STRATEGIC CHOICE VS DETERMINISM THEORIES 2
There has been a series of debates surrounding the application of organizational theories
for the past one decade revolving the issue of strategic choice versus determinism. The strategic
choice or free will theorists postulate that managers are autonomous agents that operate in
proactive and potentially innovative ways to manipulate the fate of their organizations
(Whittington, 2014). On the other hand, the determinists, on the other hand, are of the view that
managers are limited by the prevailing environmental and structural situations and thus cannot
manipulate the course of their organizations. Scholars classified as environmental determinists
entail population ecologists. Also, contingency theorists belong to the class of environmental
determinists. The proponents of strategic choice with the inclusion of voluntarists entail strategic
theorists and network theorists.
The paper views determinism and strategic choice as extremes of a sole continuum as a
misconception that diverts attention from other crucial fascinating issues. The power, the choices
and the capability of managers to make changes in their organizations depends entirely on the
expectations by determinists and voluntarists. The most vital issue with regards to strategic
choice versus the determinism is the nexus between them and how their associations and
resultant reactions unveil over time. This essay acknowledges such associations and tensions that
manifest between the two views and finds an alternative strategy to reconcile them. Reconciling
such extreme theories is possible through identifying limits by the determinists and free will by
prioritizing factors related to industry, time and organization.
Overview of the theories
Both theories of determinism and strategic choice have been evaluated at the level of
organization and industry. Based on some strategic choice and resource-based theorists, they
assess strategic choice at the organization level. However, others evaluate the same at the level

STRATEGIC CHOICE VS DETERMINISM THEORIES 3
of clustered organizations. Scholars analyzing the phenomena at institutional level assert that the
dominant coalition within the organization facilitates decision making on time and the strategy
for restructuring effort and performance with regards to restructuring is a function of
management as opposed to the environment (Geddes, 2018). On the contrary, resource-based
theorists are of the view that managers over time, acquire specialized knowledge and unique
skills capable of yielding distinctive abilities and performance levels regarded as superior. In the
level of industry, the network theorists assert that cluster of organizations interacts to develop
their collective environment, regulations, and choices available in the context of their
environment by mobilizing action and resources.
Identical to the methodology of strategic choice, the determinists adopt the two-level
analysis that is the organization and the industry. The contingency theorists evaluate the issue at
an organizational level and assert that the environment-structure fit is crucial for organizational
effectiveness (Hilbig & Morten, 2014). In support of their premise, they are of the view that the
environment dictates the kind of structure that organizations adopt and implement for them to be
excellent performers. Taking into consideration, the positional school considers the deterministic
opinion and demonstrates that firms’ performance is limited by legal, technological and
competitive aspects that dominate the industry. For instance, the Purdue studies conducted in the
beer industry are a prototype of this school. At the industry level, determinists assert that
environmental resources are constrained, and it is thus the responsibility of organizations to
adapt their operations to tap on the benefits of the evolving base. Though inertial structures
characterize organizations, it makes it challenging to adjust without hardships.
Moreover, the environment chooses those organizations that it believes will thrive in the
long-run. The industrial economists, in this context, posit that the structure of the industry with