Drawing from theory on institutionalized organizational environments,
this paper analyzes the actions of community-based service programs pr
oviding care for people with AIDS. The focus is on the interorganizati
onal relations developed by the lead agencies in demonstration project
s attempting to coordinate services in three communities. The paper id
entifies differential styles of organizational response to development
al and operational issues. These differences are related to the concep
tual distinction between organizational responses to technical environ
ments and those to normative, or ''institutional,'' environmental feat
ures. Various factors are identified that appear to promote a higher d
egree of institutionalization in interorganizational relations. Coordi
nation as a reform strategy is seen to have become, in itself, an inst
itutionalized myth to which organizations must subscribe in order to g
ain legitimacy.