Organizational forms - specific configurations of goals, boundaries, and activities - are the elements selected by environmental criteria, and change may occur either through new forms eliminating old ones or through the modification of existing forms. Environmental niches are distinct in combination of resources and other constraints that are sufficient to support organizational form. Organizational forms, then, are organized activity systems oriented toward exploiting the resources within a niche.
Selection pressures may favour or eliminate entire groups of organizations, such as industries, and the changing population distribution of organizations in a society reflects the operation of such selection pressures.