Does a micro-macro link exist between managerial value of reciprocity, social capital and firm performance? The case of SMEs in China

Document Type

Journal article

Source Publication

Asia Pacific Journal of Management

Publication Date

12-1-2005

Volume

22

Issue

4

First Page

445

Last Page

463

Keywords

China, Managerial value of reciprocity, Performance, Rural SMEs, Social capital, Transaction cost economics

Abstract

With the deepening of China's economic reform, SMEs are starting to gain tremendous economic momentum and play an increasingly irreplaceable role in China's century-long bid for economic resurgence. Using a micro-macro link approach, this study investigates the effects of managerial value of reciprocity on both social capital and firm performance in China's rural SMEs. A structural equation modelling method was used to test hypotheses. Data from 177 SMEs in China provide supporting evidence that there exists a micro-macro link from managerial value of reciprocity, to social capital (trust) and to firm performance (both overall performance and competitiveness improvement).

DOI

10.1007/s10490-005-4119-7

Print ISSN

02174561

Publisher Statement

Copyright © Springer Science + Business Media, Inc. 2005 Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Wu, W.-P., & Leung, A. (2005). Does a micro-macro link exist between managerial value of reciprocity, social capital and firm performance? The case of SMEs in China. Asia Pacific Journal of Management, 22(4), 445-463. doi: 10.1007/s10490-005-4119-7

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