Social capital as a theoretical approach in Strategic Management
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Published
18-12-2019
Beatriz Ortiz García Navas
Mario Javier Donate Manzanares
Fátima Guadamillas Gómez
Abstract
The objective of this research paper is to investigate, from a theoretical point of view, the strategic relevance of social capital. In recent years, academic literature in this field has witnessed remarkable growth, recognizing social capital as a key element for companies, due to its contribution to the creation of competitive advantages. However, it might be said that its development is still emerging, given the number of discrepancies among researchers regarding its definition, measurement, and its positive or negative impact on other variables. For this reason, a set of empirical studies that show the social capital effect on diverse types of organizational results have been reviewed, taking as a reference the definition and dimensions proposed by Nahapiet and Ghoshal (1998). Additionally, different theoretical links between social capital and four related Strategic Management approaches are presented, such as the Intellectual Capital-Based View, the Knowledge-Based View, the Resource-Based View and the Dynamic Resource-Based View. A main conclusion drawn from this review is that social capital, being a knowledge-based resource, enables access to both internal and external resources and thus a firm's competitive advantage and, consequently, its value creation can be generated from the combination of both areas. Going in depth and clarifying this strategic linkage are thus a challenge to address in future studies.
How to Cite
Ortiz García Navas, B., Donate Manzanares, M. J., & Guadamillas Gómez, F. (2019). Social capital as a theoretical approach in Strategic Management. Cuadernos De Gestión, 19(2), 137–158. https://doi.org/10.5295/cdg.160646bo
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Keywords
Organizational social capital, theoretical approach, Strategic Management
References
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Bellamy, M.A., Ghosh, S. and Hora, M., 2014. The Influence of Supply Network Structure on Firm Innovation. Journal of Operations Management, 32 (6), 357-373.
Bellavitis, C., Filatotchev, I. and Souitaris, V., 2017. The Impact of Investment Networks on Venture Capital Firm Performance: a Contingency Framework. British Journal of Management, 28 (1), 102-119.
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Bolino, M.C., Turnley, W.H. and Bloodgood, J.M., 2002. Citizenship Behaviour and the Creation of Social Capital in Organisation, Academy of Management Review, 27 (4), 505-522.
Bourdieu, P. and Wacquant, L.J., 1992. An Invitation to Reflexive Sociology. Chicago: University of Chicago Press.
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Granovetter, M.S., 1992. Problems of Explanation in Economic Sociology. In Nohria, N. and Eccles, R. (Eds.): Networks and organizations. Structure, form and action. Boston: Harvard Business School Press, 25-56.
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Grant, R.M., 1996b. Prospering in Dynamically-Competitive Environments. Organizational Capability as Knowledge Integration. Organization Science, 7 (4), 375-387.
Grant, R.M., 2002. Contemporary Strategy Analysis. Concepts, Techniques and Applications. Boston. MA: Blackwell Publishers.
Gulati, R., 1998. Alliances and Networks. Strategic Management Journal, 19 (4), 293-317.
Gulati, R., Nohria, N. and Zaheer, A., 2000. Strategic Networks, Strategic Management Journal, 21, 203-215.
Hall, R., 1993. A Framework Linking Intangible Resources and Capabilities to Sustainable Competitive Advantage. Strategic Management Journal, 14 (8), 607-618.
Helfat, C.E. and Peteraf, M.A., 2003. The Dynamic Resource-Based View. Capability Lifecycles. Strategic Management Journal, 24, 997-1010.
Hsu, J.S.C. and Hung, Y.W., 2013. Exploring the Interaction Effects of Social Capital. Information & Management, 50 (7), 415-430.
Inkpen, A.C. and Tsang, E.W.K., 2005. Social Capital, Networks and Knowledge Transfer. Academy of Management Review, 30 (1), 146-165.
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Kogut, B. and Zander, U., 1992. Knowledge of the Firm, Combinative Capabilities and Replication of Technology. Organization Science, 3 (3), 383-397.
Kogut, B. and Zander, U., 1996. What Firms Do? Coordination, Identity, and Learning. Organization Science, 7 (5), 502-518.
Landry, R., Amara, N. and Lamari, M., 2002. Does Social Capital Determine Innovation? To What Extent? Technological Forecasting and Social Change, 69 (7), 681-701.
Leana, C.R. and Pil, F.K., 2006. Social Capital and Organizational Performance. Evidence from Urban Public Schools. Organization Science, 17 (3), 353-366.
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Alarcón, J.R., Villaverde, P.M.G., Requena, G.P. and Ortega, M.J.R., 2014. La Capacidad de Absorción como Factor Conductor del Capital Social Cognitivo Hacia la Innovación. Economía Industrial, (391), 33-42.
Andrews, R., 2010. Organizational Social Capital, Structure and Performance. Human Relations, 63 (5), 583-608.
Bellamy, M.A., Ghosh, S. and Hora, M., 2014. The Influence of Supply Network Structure on Firm Innovation. Journal of Operations Management, 32 (6), 357-373.
Bellavitis, C., Filatotchev, I. and Souitaris, V., 2017. The Impact of Investment Networks on Venture Capital Firm Performance: a Contingency Framework. British Journal of Management, 28 (1), 102-119.
Blasco, P., Navas, J.E. and López, P., 2010. El Efecto Mediador del Capital Social sobre los Beneficios de la Empresa. Una Aproximación Teórica. Cuadernos de Estudios Empresariales, 20, 11-34.
Bolino, M.C., Turnley, W.H. and Bloodgood, J.M., 2002. Citizenship Behaviour and the Creation of Social Capital in Organisation, Academy of Management Review, 27 (4), 505-522.
Bourdieu, P. and Wacquant, L.J., 1992. An Invitation to Reflexive Sociology. Chicago: University of Chicago Press.
Bueno, E., Rodríguez, P. and Salmador, M.P., 2000. Experiencias en Medición del Capital Intelectual en España. El Modelo Intelect. In Bueno, E. and Salmador, M.P. (Eds), Perspectivas sobre Dirección del Conocimiento y Capital Intelectual. Instituto Universitario Euroforum Escorial, 111-121.
Bueno, E., Salmador, M.P. and Rodríguez, O., 2004. The Role of Social Capital in Today’s Economy. Empirical Evidence and Proposal of a New Model of Intellectual Capital. Journal of Intellectual Capital, 5 (4), 556-574.
Burt, R.S., 1992. Structural Holes. The Social Structure of Competition. Cambridge MA: Harvard University Press.
Cohen, W.M. and Levinthal, D.A., 1990. Absorptive Capacity. A New Perspective on Learning and Innovation. Administrative Science Quarterly, 35 (1), 128-152.
Cohen, D. and Prusak, L., 2001. Social Capital and Capital Gains in Silicon Valey. In Lesser, E.L. (Ed). Knowledge and Social Capital. Foundations and Applications, Butterworth-Heinemann, 179-200.
Coleman, J.S., 1988. Social Capital in the Creation of Human Capital. American Journal of Sociology, 94, 95-120.
Collins, C.J. and Smith, K.G., 2006. Knowledge Exchange and Combination. The Role of Human Resource Practices in the Performance High-Technology Firms. The Academy of Management Journal, 49 (3), 544-560.
Dakhly, M. and De Clercq, D., 2004. Human Capital, Social Capital and Innovation. A Multi-Country Study. Entrepreneurship & Regional Development. An International Journal, 16 (2), 107-128.
Delgado, M., Martín, G., Navas, J.E. and Cruz, J., 2011. Capital Social, Capital Relacional e Innovación Tecnológica. Una Aplicación al Sector Manufacturero Español de Alta y Media Tecnología. Cuadernos de Economía y Dirección de la Empresa, 14, 207-221.
Doh, S. and Acs, Z.J., 2010. Innovation and Social Capital. A Cross-Country Investigation. Industry and Innovation, 17 (3), 241-262.
Donate, M.J., 2007. Estrategias de Conocimiento e Innovación. Relaciones y Análisis de sus Efectos en los Resultados Empresariales. Madrid: Consejo Económico y Social, Colección de estudios.
Dyer, J.H. and Singh, H., 1998. The Relational View. Cooperative Strategy and Sources of Interorganizational Competitive Advantage. Academy of Management Review, 23 (4), 660-679.
Ebers, M. and Maurer, I., 2014. Connections Count. How Relational Embeddedness and Relational Empowerment Foster Absorptive Capacity. Research Policy, 43 (2), 318-332.
Edvinsson, L. and Malone, M.S., 1997. Intellectual Capital. Realizing Your Company’s True Value by Finding Its Hidden Brainpower. New York: HarperCollins Publishers.
Eisenhardt, K. and Martin J., 2000. Dynamic Capabilities. What Are They? Strategic Management Journal, 21, 105-121.
Euroforum, 1998. El Modelo Intelect. Madrid: Instituto Universitario Euroforum Escorial.
Foss, N.J., 1996. Knowledge-Based Approaches to the Theory of the Firm. Some Critical Comments. Organization Science, 7 (5), 470-476.
Gallo, M.T. and Garrido, R., 2009. El Capital Social, ¿Qué Es y Por Qué Importa? Madrid: Serie Ensayos, Instituto Universitario de Análisis Económico y Social.
García, P.M. and Parra G., 2008. Capital Social, Conocimiento y Resultados en los Distritos Industriales. Boletín Económico de ICE, (2948), 53-67.
Gatignon, H., Tushman, M.L., Smith, W. and Anderson, P., 2002. A Structural Approach to Assessing Innovation. Construct Development of Innovation Locus, Type, and Characteristics. Management Science, 48, 1103–1122.
Granovetter, M.S., 1985. Economic Action and Social Structure. The Problem of Embeddedness. American Journal of Sociology, 91, 481-510.
Granovetter, M.S., 1992. Problems of Explanation in Economic Sociology. In Nohria, N. and Eccles, R. (Eds.): Networks and organizations. Structure, form and action. Boston: Harvard Business School Press, 25-56.
Grant, R.M., 1996a. Toward a Knowledge Based Theory of the Firm. Strategic Management Journal, 17 (1), 109-122.
Grant, R.M., 1996b. Prospering in Dynamically-Competitive Environments. Organizational Capability as Knowledge Integration. Organization Science, 7 (4), 375-387.
Grant, R.M., 2002. Contemporary Strategy Analysis. Concepts, Techniques and Applications. Boston. MA: Blackwell Publishers.
Gulati, R., 1998. Alliances and Networks. Strategic Management Journal, 19 (4), 293-317.
Gulati, R., Nohria, N. and Zaheer, A., 2000. Strategic Networks, Strategic Management Journal, 21, 203-215.
Hall, R., 1993. A Framework Linking Intangible Resources and Capabilities to Sustainable Competitive Advantage. Strategic Management Journal, 14 (8), 607-618.
Helfat, C.E. and Peteraf, M.A., 2003. The Dynamic Resource-Based View. Capability Lifecycles. Strategic Management Journal, 24, 997-1010.
Hsu, J.S.C. and Hung, Y.W., 2013. Exploring the Interaction Effects of Social Capital. Information & Management, 50 (7), 415-430.
Inkpen, A.C. and Tsang, E.W.K., 2005. Social Capital, Networks and Knowledge Transfer. Academy of Management Review, 30 (1), 146-165.
Itami, H. and Roehl, T., 1987. Mobilizing Invisible Assets. Cambridge: Harvard University Press.
Jacobs, J., 1961. The Death and Life of Great American Cities. The Failure of Town Planning. Nueva York: Random House.
Kale, P., Singh, H. and Pelmutter, H., 2000. Learning and Protection of Proprietary Assets in Strategic Alliances. Building Relational Capital. Strategic Management Journal, 21 (3), 217-237.
Kogut, B. and Zander, U., 1992. Knowledge of the Firm, Combinative Capabilities and Replication of Technology. Organization Science, 3 (3), 383-397.
Kogut, B. and Zander, U., 1996. What Firms Do? Coordination, Identity, and Learning. Organization Science, 7 (5), 502-518.
Landry, R., Amara, N. and Lamari, M., 2002. Does Social Capital Determine Innovation? To What Extent? Technological Forecasting and Social Change, 69 (7), 681-701.
Leana, C.R. and Pil, F.K., 2006. Social Capital and Organizational Performance. Evidence from Urban Public Schools. Organization Science, 17 (3), 353-366.
Lefebvre, V.M., Sorenson, D., Henchion, M. and Gellynck, X., 2016. Social Capital and Knowledge Sharing Performance of Learning Networks. International Journal of Information Management, 36 (4), 570-579.
Lesser, E.L., 2000. Leveraging Social Capital in Organizations. In Lesser E.L. (Ed.): Knowledge and Social Capital. Foundations and Applications. Butterworth-Heinemann, 3-16.
Lesser, E. and Cothrel, J., 2001. Fast Friends. Virtuality and Social Capital. Knowledge Directions, Spring-Summer, 66-79.
Lesser, E. and Prusak, L., 1999. Communities of Practice, Social Capital and Organizational Knowledge. Cambridge, MA: IBM-Institute Knowledge Management.
Li, L., Lin, Z.J. and Aranda, B., 2008. The Turtle-Hare Race Story Revisited. Social Capital and Resource Accumulation for Firm from Emerging Economies. Asia Pacific Journal of Management, 25 (2), 251-275.
Li, P.P., 2007. Social Tie, Social Capital, and Social Behaviour. Toward an Integrative Model of Informal Exchange. Asia Pacific Journal of Management, 24 (2), 227-246.
Lin, N., 2001. Building a Network Theory of Social Capital. In Lin, N., Cook, K. and Burt, R. (Eds.): Social Capital. Theory and Research. New Jersey: Aldine Transaction, 3-29.
Lourand, G., 1977. A Dynamic Theory of Racial Income Differences. In Wallance P.A. and Le Mund, A. (Eds.): Women, Minorities, and Employment Discrimination. Lexington: Max Lexington Books.
Loury, G., 1992. The Economics of Discrimination. Getting to the Core of the Problem. Harvard Journal for African American Public Policy, 1, 91-110.
Martín-Ríos, C. and Septiem, M., 2013. Cooperación e Intercambio de Conocimiento en Redes Inter-Organizativas Informales. REDES- Revista hispana para el análisis de redes sociales, 24 (1), 193-216.
Maula, M., Autio, E. and Murray, G., 2003. Prerequisites for the Creation of Social Capital and Subsequent Knowledge Acquisition in Corporate venture Capital. Venture Capital, 5 (2), 117-134.
Maurer, I., Bartsch, V. and Ebers, M., 2011. The Value of Intra-Organizational Social Capital. How It Fosters Knowledge Transfer, Innovation Performance, and Growth. Organization Studies, 32 (2), 157-185.
Molina, F.X. (Director), 2008. La Estructura y Naturaleza del Capital Social en las Aglomeraciones Territoriales de Empresas: Una Aplicación al Sector Cerámico Español, Madrid: Fundación BBVA.
Moran, P., 2005. Structural vs. Relational Embeddedness. Social Capital and Managerial Performance. Strategic Management Journal, 26 (12), 1129-1151.
Moran, P. and Ghoshal, S., 1996. Value Creation band Firms. In Keys, J.B. and Dosier, L.N. (Eds.): Academy of Management Best Paper Proceedings, August (1), 41-45.
Mu J., Peng, G. and Love, E., 2008. Interfirm Networks, Social Capital, and Knowledge Flow. Journal of Knowledge Management, 12 (4), 86-100.
Nahapiet, J. and Ghoshal, S., 1998. Social Capital, Intellectual Capital and the Organizational Advantage. Academy of Management Review, 23 (2), 242-266.
Newbert, S.L., 2005. New Firm Formation. A Dynamic Capability Perspective. Journal of Small Business Management, (43), 55-77.
Parra, G., Molina, F.X. and García, P.M., 2010. The Mediating Effect of Cognitive Social Capital on Knowledge Acquisition in Clustered Firms. Growth and Change, 41 (1), 59-84.
Pirolo, L. and Presutti, M., 2010. The Impact of Social Capital on the Start-ups’ Performance Growth. Journal of Small Business Management, 48 (2), 197-227.
Portes, A., 1998. Social Capital. Its Origins and Applications in Modern Sociology. Annual Review of Sociology, 24, 1-24.
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