Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments February 24, 2023 erstellt
Description:
We examine the effect of social capital on buyer-supplier relationships. We report evidence that firms make larger relationship-specific investments when their supply chain partners are headquartered in states with high social capital. This result is more pronounced in environments where supply chain partners have incentives to engage in opportunistic behavior. In addition, the duration of supply chain relationships is longer when supply chain partners are headquartered in high social capital states, especially when the partners also invest in relationship-specific assets. Collectively, the evidence suggests that social norms promoting trustworthiness and cooperation are beneficial for investment and stability along supply chains