Grand challenges, corporate legitimacy, and community integration: an integrative smart technology model

Abstract

By referring to the smart city industry, this research studies how commercial firms gain legitimacy when their products aim to address grand challenges. Despite the reputation of giant technology companies and the overall legitimacy they enjoy in technology markets, exploiting opportunities in social contexts connected to grand challenges requires a societal‐oriented approach. Firms that engaged in smart cities initially approached cities with a business‐as‐usual approach, to be met with sharp criticism from local communities and pressure groups. In response, firms had to redraw their strategies to include communities in the process to stay close to local reality. This paper theorizes the process and highlights an Integrative Smart Technology Model (ISTM) to narrate how firms strategically include communities in the planning process and gain legitimacy for the technologies.