Dynamic Effects of Trust and Cognitive Social Structures on Information Transfer Relationships

40 Pages Posted: 19 Feb 2003

See all articles by David J. Dekker

David J. Dekker

Erasmus Research Institute of Management (ERIM)

David Krackhardt

Carnegie Mellon University - David A. Tepper School of Business

Philip Hans Franses

Erasmus University Rotterdam (EUR) - Department of Econometrics

Date Written: December 2002 3,

Abstract

Changes in relationships are due to human actions. We assume that these human actions are functions of perceptions of a focal individual, but also the perceptions of other individuals who are part of the organizational and social environment. We hypothesize that perceptions based trust and perceptions of the structural environment individuals operate in affect relationship change more than the "actual" environment in which individuals operate. An empirically analysis shows the dynamic effects of perceptions on changes in two types of relationships, which are believed to be important in account management. We explore, 1, whether the levels of perceptions, and, 2, whether changes in perceptions affect relationship changes. For example, we consider the effects of the amount of trust as well as the change in the amount of trust one individual puts in another individual. We find that perceptions have more impact on relationship change than "actual" network variables have. Furthermore, the results show that it is useful to distinguish between level and change effects of perceptions.

Keywords: relationship development, trust, dynamic cognitive social structures, network theory

JEL Classification: M, M31, C44

Suggested Citation

Dekker, David J. and Krackhardt, David and Franses, Philip Hans, Dynamic Effects of Trust and Cognitive Social Structures on Information Transfer Relationships (December 2002 3,). Available at SSRN: https://ssrn.com/abstract=370977

David J. Dekker

Erasmus Research Institute of Management (ERIM) ( email )

P.O. Box 1738
3000 DR Rotterdam
Netherlands
+31 10 4088938 (Phone)
+31 (0) 10-4089031 (Fax)

David Krackhardt

Carnegie Mellon University - David A. Tepper School of Business ( email )

5000 Forbes Avenue
Pittsburgh, PA 15213-3890
United States

Philip Hans Franses (Contact Author)

Erasmus University Rotterdam (EUR) - Department of Econometrics ( email )

P.O. Box 1738
3000 DR Rotterdam
Netherlands
+31 10 408 1278 (Phone)
+31 10 408 9162 (Fax)

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