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The economic nature of network capital in B2B transactions

  • Paul N. Wilson

    (Department of Agricultural and Resources Economics, University Of Arizona, Tucson, AZ 85721-0023)

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    Social scientists, including numerous economists, have explored the incidence and importance of social capital embedded networks as a governance mechanism in business operations. The buyer-seller dyads represented by 12 large-scale dairies and 7 feed suppliers were studied to contribute to our understanding of network capital in business-to-business (B2B) transactions. A high incidence of institutional and personal trust was found in these buyer-seller networks. Trust facilitates economic exchange through uncertainty management, information sharing, and time savings. [L140, Q120]. © 2007 Wiley Periodicals, Inc. Agribusiness 23: 435-448, 2007.

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    File URL: http://hdl.handle.net/10.1002/agr.20132
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    Article provided by John Wiley & Sons, Ltd. in its journal Agribusiness.

    Volume (Year): 23 (2007)
    Issue (Month): 3 ()
    Pages: 435-448

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    Handle: RePEc:wly:agribz:v:23:y:2007:i:3:p:435-448
    Contact details of provider: Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297

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    1. Coleman, James S, 1984. "Introducing Social Structure into Economic Analysis," American Economic Review, American Economic Association, vol. 74(2), pages 84-88, May.
    2. James Jr., Harvey S., 2002. "The trust paradox: a survey of economic inquiries into the nature of trust and trustworthiness," Journal of Economic Behavior & Organization, Elsevier, vol. 47(3), pages 291-307, March.
    3. Nooteboom, Bart, 1999. "Innovation and inter-firm linkages: new implications for policy," Research Policy, Elsevier, vol. 28(8), pages 793-805, November.
    4. Susan Helper, 2000. "Economists and Field Research: "You Can Observe a Lot Just by Watching."," American Economic Review, American Economic Association, vol. 90(2), pages 228-232, May.
    5. Rademakers, Martijn F.L., 2000. "Agents Of Trust: Business Associations In Agri-Food Supply Systems," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 3(02).
    6. Lorenz, Edward, 1999. "Trust, Contract and Economic Cooperation," Cambridge Journal of Economics, Oxford University Press, vol. 23(3), pages 301-15, May.
    7. Harvey James, 2002. "The Trust Paradox: A Survey of Economic Inquiries Into the Nature of Trust and Trustworthiness," Microeconomics 0202001, EconWPA.
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