Bureaucratic Systems' Facilitating and Hindering Influence on Social Capital

This study demonstrates how banks’ bureaucratic systems (i.e., formalization, management continuity, customer orientation) are associated with social capital's relational and cognitive dimensions. We collected survey data from a matched sample of 884 small– and medium–sized enterprises (SME) ex...

Full description

Saved in:
Bibliographic Details
Published in:Entrepreneurship theory and practice 2013-05, Vol.37 (3), p.625-639
Main Authors: Saparito, Patrick A., Coombs, Joseph E.
Format: Article
Language:English
Subjects:
Banking
Banking industry
Banks
Bureaucracy
Entrepreneurship
Executives
Formalization
Influence
Infrastructure (Economics)
Management theory
Managers
Mathematical models
Organization theory
Professional relationships
Small & medium sized enterprises-SME
Small and medium sized companies
Small and medium sized enterprises
Small business loans
Social capital
Statistical analysis
Strategic management
Studies
Surveys
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This study demonstrates how banks’ bureaucratic systems (i.e., formalization, management continuity, customer orientation) are associated with social capital's relational and cognitive dimensions. We collected survey data from a matched sample of 884 small– and medium–sized enterprises (SME) executives and 217 bank managers across 22 banks to test hypothesized relationships. Our results showed that formalization is negatively associated with both dimensions of social capital, while management continuity and customer orientation are positively associated with them. These results are a first step in answering calls in the literature to study bureaucratic systems’ influence on social capital. Theoretical and future research implications are discussed.
ISSN:1042-2587
1540-6520
DOI:10.1111/etap.12028