National Identity and Organizational Identity in Algeria: Interactions and Influences

Abstract

This article examines how national identity influences organizational identity. The interactions and influences between these two identity levels have been underexplored in the identity literature. However, given the national and geographical anchoring of businesses, national identity plausibly influences both their behavior and their organizational identity. This article presents a qualitative case study of the organizational identity of four family-run Algerian businesses, leaders in their respective industries. It theorizes a process model explaining the influence of national identity on organizational identity through three identity mechanisms: protection, justification, and adaptation. The findings suggest that organizational identity can be a social affirmation response whereby businesses demarcate their role in a challenging institutional context. This work opens new research avenues in this field by highlighting the interactions and influences that characterize these two dimensions of identity in a country actively engaged in the identity formation process, which exemplifies a dynamic and complex institutional context.