Social capital theory posits that social relationships and networks are valuable resources that can lead to the development and accumulation of human capital.
Key Facts
- Definition: Social capital theory posits that social relationships and networks are valuable resources that can lead to the development and accumulation of human capital.
- Functioning of Social Groups: Social capital enables the effective functioning of social groups through interpersonal relationships, shared norms, values, trust, cooperation, and reciprocity.
- Impact on Society: Social capital has been used to explain various phenomena, including the improved performance of diverse groups, the growth of entrepreneurial firms, superior managerial performance, enhanced supply chain relations, and the evolution of communities.
- Historical Background: The term “social capital” has been in intermittent use since the late 19th century, but it gained popularity in the late 1990s. The concept has roots in the works of sociologists such as Tönnies, Durkheim, Simmel, and Weber, who observed the transformation of social relationships in industrialized and urbanized societies.
- Early Usage: The earliest credited use of the term “social capital” is by Lyda Hanifan in 1916, where she described it as goodwill, fellowship, mutual sympathy, and social intercourse among individuals and families within a community.
- Multiple Definitions: Social capital has multiple definitions and interpretations. It has been used to explain superior managerial performance, the growth of entrepreneurial firms, improved performance of diverse groups, value derived from strategic alliances, and enhanced supply-chain relations.
Functioning of Social Groups
Social capital enables the effective functioning of social groups through interpersonal relationships, shared norms, values, trust, cooperation, and reciprocity.
Impact on Society
Social capital has been used to explain various phenomena, including:
- Improved performance of diverse groups
- Growth of entrepreneurial firms
- Superior managerial performance
- Enhanced supply chain relations
- Evolution of communities
Historical Background
- The term “social capital” has been in intermittent use since the late 19th century.
- It gained popularity in the late 1990s.
- The concept has roots in the works of sociologists such as Tönnies, Durkheim, Simmel, and Weber.
Early Usage
- The earliest credited use of the term “social capital” is by Lyda Hanifan in 1916.
- Hanifan described social capital as goodwill, fellowship, mutual sympathy, and social intercourse among individuals and families within a community.
Multiple Definitions
Social capital has multiple definitions and interpretations. It has been used to explain:
- Superior managerial performance
- Growth of entrepreneurial firms
- Improved performance of diverse groups
- Value derived from strategic alliances
- Enhanced supply-chain relations
References
- Social Capital Theory – ScienceDirect
- Social capital – Wikipedia
- What Is Social Capital? Definition, Types, and Examples
FAQs
What is social capital theory?
Social capital theory posits that social relationships and networks are valuable resources that can lead to the development and accumulation of human capital.
How does social capital function in social groups?
Social capital enables the effective functioning of social groups through interpersonal relationships, shared norms, values, trust, cooperation, and reciprocity.
What are some examples of the impact of social capital on society?
Social capital has been used to explain various phenomena, including the improved performance of diverse groups, the growth of entrepreneurial firms, superior managerial performance, enhanced supply chain relations, and the evolution of communities.
When was the term “social capital” first used?
The earliest credited use of the term “social capital” is by Lyda Hanifan in 1916.
What are some of the different definitions of social capital?
Social capital has multiple definitions and interpretations. It has been used to explain superior managerial performance, the growth of entrepreneurial firms, improved performance of diverse groups, value derived from strategic alliances, and enhanced supply-chain relations.
What are some of the criticisms of social capital theory?
Some critics argue that social capital theory is too vague and difficult to measure. Others argue that it overemphasizes the positive aspects of social capital and ignores the potential negative consequences.
How can social capital be measured?
There are a variety of ways to measure social capital, including surveys, interviews, and network analysis.
How can social capital be increased?
There are a number of ways to increase social capital, including investing in education and social programs, promoting civic engagement, and encouraging the formation of social networks.