RETHINKING THE INTERORGANIZATIONAL ENVIRONMENTS OF PUBLIC ORGANIZATIONS

Abstract

The authors suggest that most existing attempts to classify interorganiza‐tional environments are founded on inappropriate assumptions concerning human action, particularly when such frameworks are applied to public‐sector settings. Proceeding from that contention, the authors apply the concepts of referent organizations and rule sets to develop an alternative typology of interorganizational environments. The resulting matrix suggests four distinct types of interorganizational environments: (1) the natural market, (2) the structured market, (3) the bureaucratic environment, and (4) the associative environment. An examination of these environments and their relevance for public‐sector organizations suggests that rule‐based conceptions of interorganizational action that take into account the role of referent organizations are more consistent with traditional democratic theory than are purely market‐based conceptions of action. The alternative framework presented in this paper also has useful implications for both practical public administration, and especially for general concepts of public policy.