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Shaping and re-shaping social capital in buyer–supplier relationships

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posted on 05.09.2017 by Mathew Hughes, Robert K. Perrons
Social capital plays an important role in explaining how value is created from firms' network relationships, but little is understood about how social capital is shaped over time and how it is re-shaped when firms consolidate their network ties. In response, this study explores the evolution of social capital in buyer-supplier relationships through a case study of a company undertaking radical product innovation, and examines the corresponding changes in the firm's network of buyer-supplier relationships. The analysis shows that social capital is built in a decidedly non-linear and non-uniform manner. The study also reveals considerable interaction among the dimensions of social capital throughout the evolution of the firm's network, and emphasizes the importance of the cognitive dimension-a feature receiving little attention thus far. The evidence shows, too, that efforts to strengthen social capital need to increase when network ties are sacrificed to prevent unintended consequences for firms' longer-term value creation.

History

School

  • Business and Economics

Department

  • Business

Published in

Journal of Business Research

Volume

64

Issue

2

Pages

164 - 171

Citation

HUGHES, M. and PERRONS, R., 2011. Shaping and re-shaping social capital in buyer–supplier relationships. Journal of Business Research, 64 (2), pp.164-171.

Publisher

© Elsevier

Version

AM (Accepted Manuscript)

Publisher statement

This work is made available according to the conditions of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0) licence. Full details of this licence are available at: https://creativecommons.org/licenses/by-nc-nd/4.0/

Publication date

2011

ISSN

0148-2963

Language

en

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