Analyzing the formation of a paradoxical organizational identity

Purpose This study aims to understand the construction process of an organizational identity in a hybrid organization. Design/methodology/approach The author developed a single case study based on in-depth interviews, non-participant observations and document analysis in a credit cooperative. Findings After periods of changes in organizational identity (from idealism to pragmatism), the formation of a paradoxical organizational identity was observed in which the core value became a central polarity between idealism and pragmatism; after periods when members engaged in actions that promoted resistance or change, they framed past events in a story of stable dynamics between idealism and pragmatism; and pro-distinctiveness and -similarity forces in relation to other organizations were reconciled in a quest for optimal distinctiveness that simultaneously enabled the development of uniqueness and adequacy. Originality/value This is the first study to adopt a paradox perspective to analyze the identity of a cooperative.