The chapter explores how social movements and collective action create new organizational forms, emphasizing the role of cultural innovation alongside technological innovation. It argues that social movements are crucial sources of cultural innovation and identifies the conditions under which they generate new organizational forms. The text highlights the importance of institutional entrepreneurship in legitimizing new forms and expanding the scope of neo-institutional theory. The chapter begins with a historical example of consumer leagues in the early 20th century, showing how collective action led to the creation of new organizations. It then discusses the limitations of organizational ecology and neo-institutionalism in addressing the role of agency in legitimization. The text emphasizes the dual role of social movements in de-institutionalizing existing beliefs and establishing new ones, with institutional entrepreneurs playing a key role in this process. The chapter then examines organizational and market failures as sources of social movements. It discusses the failure of trade associations, the inadequacy of normal incentives, the failure of market mechanisms to reduce social costs, and the exclusion of actors from conventional channels. Each of these failures is shown to create conditions for social movements to emerge and create new organizational forms. The text also explores the concept of organizational fields and how they influence the emergence of new forms. It discusses the interstices between multiple fields, hierarchical fields, and fragmented fields, and how these conditions shape the activities of social movements. The chapter provides a case study of the development of alternative dispute resolution (ADR) as an example of how new forms emerge at the interstices of multiple fields through social movement processes. The chapter concludes by discussing the broader contexts in which these failures occur, emphasizing the importance of cultural processes in reconstituting existing fields and reframing benefits as costs. It highlights the role of social movements in creating new organizational forms and the importance of political opportunity in this process. The text underscores the need for further research on the relationship between politics, social movements, and organizational change at both macro and micro levels.The chapter explores how social movements and collective action create new organizational forms, emphasizing the role of cultural innovation alongside technological innovation. It argues that social movements are crucial sources of cultural innovation and identifies the conditions under which they generate new organizational forms. The text highlights the importance of institutional entrepreneurship in legitimizing new forms and expanding the scope of neo-institutional theory. The chapter begins with a historical example of consumer leagues in the early 20th century, showing how collective action led to the creation of new organizations. It then discusses the limitations of organizational ecology and neo-institutionalism in addressing the role of agency in legitimization. The text emphasizes the dual role of social movements in de-institutionalizing existing beliefs and establishing new ones, with institutional entrepreneurs playing a key role in this process. The chapter then examines organizational and market failures as sources of social movements. It discusses the failure of trade associations, the inadequacy of normal incentives, the failure of market mechanisms to reduce social costs, and the exclusion of actors from conventional channels. Each of these failures is shown to create conditions for social movements to emerge and create new organizational forms. The text also explores the concept of organizational fields and how they influence the emergence of new forms. It discusses the interstices between multiple fields, hierarchical fields, and fragmented fields, and how these conditions shape the activities of social movements. The chapter provides a case study of the development of alternative dispute resolution (ADR) as an example of how new forms emerge at the interstices of multiple fields through social movement processes. The chapter concludes by discussing the broader contexts in which these failures occur, emphasizing the importance of cultural processes in reconstituting existing fields and reframing benefits as costs. It highlights the role of social movements in creating new organizational forms and the importance of political opportunity in this process. The text underscores the need for further research on the relationship between politics, social movements, and organizational change at both macro and micro levels.