My best term to describe what is happening (and I've seen it in many other instances under completely different circumstances), is that the organization has bee

My best term to describe what is happening (and I've seen it in many other instances under completely different circumstances), is that the organization has been "captured". The stories and narrative in such organizations are then pervasive towards that property (or cause in this instance), at which point nothing else can happen and the people that don't subscribe to that narrative leave, making it worse.