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Disparate association between alliance social capital and the global pharmaceutical firm's performance

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  • Malik, Tariq
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    Abstract

    Some literature suggests that three dimensions of social capital—such as information volume, diversity and richness—have positive association with the firm's performance. However, these constructs and their implications cannot be taken for granted because they may not produce similar results in all contextual settings. The article develops and tests associations between dimensions of social capital and organizational performance in a multidimensional network system. This study provides an analysis on 252 pharmaceutical firms. The analysis shows disparate but insightful results. First, there is a positive association between information volume and the firm's performance. Second, there is a negative association between information diversity and the firm's performance. Third, there is no significant association between information richness and the firm's performance. Therefore, different dimensions of social capital had different links with the firm's performance. The paper provides some explanation and implications of these findings.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 21 (2012)
    Issue (Month): 6 ()
    Pages: 1017-1028

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    Handle: RePEc:eee:iburev:v:21:y:2012:i:6:p:1017-1028

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    Related research

    Keywords: Alliance social capital; Alliance performance; Contingent association of secondary ties; Disparate outcome of dyadic relations;

    References

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