Many universities and colleges are shifting their missions from teaching-oriented to research-oriented (Clark, 1978, 1983; Riesman, 1956; Selingo 2000), a phenomenon that has become known as academic/institutional drift. During recent years, the knowledge society has created an environment that further encourages the shift by influencing stakeholders in higher education institutions to increasingly accept the role played by research institutions as the most legitimate. Consequently, higher education institutions are becoming increasingly involved in the pursuit of knowledge creation. They are concluding that legitimacy and prestige will be obtained in return, as well as material resources (Slaughter & Rhoades, 2004).Despite the fact that the production of knowledge by Latin American universities is marginal in an international context (Albornoz, 1993; Albatch, 2003), some of them are experiencing institutional drift. Using a case study in combination with a qualitative approach, this research project aims to highlight the nature and implications of the phenomenon through focusing on a Mexican university system. Semi-structured interviews with individuals occupying key positions within the organization and institutional documents constitute the study's sources of information. In addition, academic capitalism, institutional theory, and Hackman's theory of resource allocation are utilized as its theoretical framework.The findings of the study show that although the institution is actively engaging in academic capitalism, societal benefit is not being neglected as a result of such engagement. Nonetheless, the findings relate academic capitalism to further stratification within and across the institution's campuses. It is also concluded that the institution is experiencing isomorphic change by modeling itself after those universities it perceives as prestigious and legitimate in the research endeavor. Regarding internal resource allocation, it is demonstrated that a unit's centrality with respect to the institution's research strategy greatly explains its gains in institutional resources.This study also includes some implications and recommendations for the institution to concentrate on and/or address in order to succeed in its research endeavor. Lastly, some considerations regarding further research are introduced.

While some countries are thriving in political stability and economicprosperity, others are struggling with political instability and poverty. The fundamental difference between the successful and the failed nations boildown to their institutions, as stated by Acemoglu and Robinson in their influential institutional economics work, “Why Nations Fail”. Inclusive institution is the reason why some countries achieved economic success and prosperity because they allow the population to participate and take advantage of the economic activities while extractive institutions hinder it incase of failed nations. The purpose of this study is to explore more closely how extractive institutions persist in an ex-colonised country in spite of institutional drift andthe political disruptions of post-colonial governments avowedly vying to rid the present of the past. Indonesia is chosen as the subject for this historical desk research case study wherein the relevant history surrounding thecolonial period and the subsequent development will be explored andanalysed through the lens of secondary literature. In addition to being based on textual evidence, the institutional economics approach will be used as a theoretical framework to break down the social, economic, and political aspects of the history. Furthermore, the mechanism of how the institutions evolve will be seen through the political development framework. The result will show that patrimonialism is present as an extractive feature in both modern and colonial Indonesia and how it has been sustained after independence. This study also suggests other extractive features as a legacy ofthe Dutch colonialism that is separate from the native tradition and customs which are Javacentrism and racism in the form of social stratification between races as a result of colonial policies.