The homeowner’s association in Snowhill meets every third Tuesday at 10:00 am over brunch to discuss matters of the neighborhood. This group is mostly run by non working mothers who are available at this time of day. They decide that the neighborhood will once again participate in the annual Christmas parade, not taking into account the religious practices of newer members of the community. When some people complain, they are called unneighborly and accused of not supporting the children. What discrimination theory explains the perpetuation of prejudice towards those who chose not to participate in the parade

According to Institutionalized discrimination theory, unfair and discriminatory treatments that exist in society is occurs because the society as a whole allow the discrimination to happen in order to make a certain group of people in a disadvantage situation.

This make a certain group of people who had different way of thinking or behavior than what the majority of society's member hold tend to be perceived as 'bad'.