Social Capital in the Context of Relational Capital

6 Pages Posted: 31 Dec 2014

See all articles by Neha Kashyap

Neha Kashyap

University of Delhi - Delhi School of Economics

Rupina Popli

Delhi School of Business

G. S. Popli

Delhi School of Business

Date Written: December 30, 2014

Abstract

The purpose of this study was to establish the relationship between relational capital and organizational performance in Automobile Sector of India. To help in the study, the study objectives were formulated together with a conceptual framework that linked social capital and its components to organization performance. Organization performance was measured using attributes like profitability and future viability. A cross sectional, descriptive and analytical research design was adopted using a representative sample of 10 top automobile companies and 100 respondents from these organizations. Data was collected using a self-administered questionnaire to the automobile sector under study. The data was analyzed using SPSS (version 16.0), then manipulated using cross tabulations, Pearson’s correlation coefficient and the regression to determine the relationship between the independent variables impact on the dependent variables. social capital improves, organization performance increases. The results further revealed that social capital is significantly related to organization performance. Therefore, managers should intensify initiatives to encourage greater understanding and acceptance on social capital elements, employ a viable social capital composition that includes building strong social relational ties with the community and competitors, and pay attention to customers and employees in order to identify their needs and provide optimal value for them. This is likely to increase organization performance.

Keywords: Relational Capital, Social Capital, Organisational Performance.

Suggested Citation

Kashyap, Neha and Popli, Rupina and Popli, Gurmukh Singh, Social Capital in the Context of Relational Capital (December 30, 2014). Available at SSRN: https://ssrn.com/abstract=2543742 or http://dx.doi.org/10.2139/ssrn.2543742

Neha Kashyap

University of Delhi - Delhi School of Economics ( email )

G.T. Road,
Shahdara
Delhi-110007, Delhi 110032
India

Rupina Popli

Delhi School of Business ( email )

VIPS - Technical Campus
AU Block, Outer Ring Road
Delhi, 110034
India

Gurmukh Singh Popli (Contact Author)

Delhi School of Business ( email )

VIPS - Technical Campus
AU Block, Outer Ring Road
Delhi, 110034
India

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