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“May I Know Your Ethnicity Please?” Understanding the Significance of Ethnic and Kinship Ties in Business Decision Making in the Textile Industry of Pakistan

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  • Moina RAUF

    () (National College of Business Administration & Economics, Pakistan)

Abstract

Through a detailed examination of the relationships of entrepreneurs in the textile sector of Pakistan, this article sheds light on the informal relationships that underlie business networks. It gives a detailed explanation on the role of informal institutions like kinship, ethnic and linguistic identities on the social network formation. The study of the networks of entrepreneurs in Pakistan raises questions models of impersonal, professional contacts can replace strong relationships based on personal affiliation and trust. Do business interests surpass ethnic and linguistic solidarities? To answer this question, a survey was held among entrepreneurs about their social networks to assess basic characteristics of social networks like size, network density, and strength of ties and study the impact of such factors on these network characteristic.

Suggested Citation

  • Moina RAUF, 2017. "“May I Know Your Ethnicity Please?” Understanding the Significance of Ethnic and Kinship Ties in Business Decision Making in the Textile Industry of Pakistan," North Economic Review, Technical University of Cluj Napoca, Department of Economics and Physics, vol. 1(1), pages 50-65, October.
  • Handle: RePEc:clj:noecrw:v:1:y:2017:i:1:p:50-65
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    References listed on IDEAS

    as
    1. Mohammad Qadeer, 1997. "The Evolving Structure of Civil Society and the State in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 36(4), pages 743-762.
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    More about this item

    Keywords

    Social networks; ethnicity; structural holes; network density;

    JEL classification:

    • N30 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - General, International, or Comparative
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management

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