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Internal social capital and the life cycle of agricultural cooperatives

Author

Listed:
  • Wendong Deng

    (Zhejiang University)

  • George Hendrikse

    (Erasmus University)

  • Qiao Liang

    (Zhejiang University)

Abstract

This paper provides an integrated analysis of the structural, relational, and cognitive dimensions of social capital in cooperatives. The social capital concept is integrated with cooperative lifecycle theory to describe the change of cooperative social capital along the lifecycle. We propose that cooperatives in different stages of the lifecycle are featured with different levels of social capital. Cooperatives usually enjoy a high level of social capital in the early stages of the lifecycle. However, the level of social capital in cooperatives exhibits a declining trend along the development of the organization. The decrease of social capital will lead to an imbalance of the social and economic attributes of cooperatives. The cooperative’s governance structure must change accordingly. We argue that it is important for cooperatives to maintain and develop the social capital strategically over time. Otherwise, the comparative advantage of the cooperative business form may disappear.

Suggested Citation

  • Wendong Deng & George Hendrikse & Qiao Liang, 2021. "Internal social capital and the life cycle of agricultural cooperatives," Journal of Evolutionary Economics, Springer, vol. 31(1), pages 301-323, January.
    • Handle: RePEc:spr:joevec:v:31:y:2021:i:1:d:10.1007_s00191-020-00690-8
    DOI: 10.1007/s00191-020-00690-8
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    4. Raquel Ajates, 2021. "Reducing the Risk of Co-Optation in Alternative Food Networks: Multi-Stakeholder Cooperatives, Social Capital, and Third Spaces of Cooperation," Sustainability, MDPI, vol. 13(20), pages 1-20, October.
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    8. Valentinov, Vladislav & Iliopoulos, Constantine, 2021. "Social capital in cooperatives: An evolutionary Luhmannian perspective," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 31(4), pages 1317-1331.
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    More about this item

    Keywords

    Social capital; Cooperatives; Lifecycle;
    All these keywords.

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • L29 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Other
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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