This conceptual paper focuses on the relationship between two concepts, institutions and culture. Recently, institutional theory has grown dramatically within international business studies to understand the contexts of multinational enterprises. However, the concepts of culture and institutions overlap, challenging research that focuses on understanding the influence of context on multinational enterprises.

As a result of our systematic literature review, we offer a framework that recognises the relationship between culture and institutions. Our findings highlight the critical role of agents in understanding the relationship between the two. We identify four roles of agents in influencing and being influenced by institutions.