In this article we offer a view that suggests that a firm's critical resources may span firm boundaries and may be embedded in interfirm resources and routines. We argue that an increasingly important unit of analysis for understanding competitive advantage is the relationship between firms and identify four potential sources of interorganizational competitive advantage: (1) relation-specific assets, (2) knowledge-sharing routines, (3) complementary resources/capabilities, and (4) effective governance. We examine each of these potential sources of rent in detail, identifying key subprocesses, and also discuss the isolating mechanisms that serve to preserve relational rents. Finally, we discuss how the relational view may offer normative prescriptions for firm-level strategies that contradict the prescriptions offered by those with a resource-based view or industry structure view.

https://www.jstor.org/stable/pdfplus/259056.pdf

The Relational View: Cooperative Strategy and Sources of Interorganizational Competitive Advantage

Our task is to adopt a multidisciplinary view
of trust within and between firms, in an effort to
synthesize and give insight into a fundamental
construct of organizational science. We seek to
identify the shared understandings of trust
across disciplines, while recognizing that the
divergent meanings scholars bring to the study
of trust also can add value.

Not So Different After All: A Cross-Discipline View Of Trust

Identifying and quantifying planetary boundaries that must not be transgressed could help prevent human activities from causing unacceptable environmental change, argue Johan Rockstrom and colleagues.

/pdf/a-safe-operating-space-for-humanity-tynyc6i2kf.pdf

A safe operating space for humanity

A growing number of sociologists, political scientists, economists, and organizational theorists have invoked the concept of social capital in the search for answers to a broadening range of questions being confronted in their own fields. Seeking to clarify the concept and help assess its utility for organizational theory, we synthesize the theoretical research undertaken in these various disciplines and develop a common conceptual framework that identifies the sources, benefits, risks, and contingencies of social capital.

https://www.jstor.org/stable/pdfplus/4134367.pdf

Social Capital: Prospects for a New Concept

This paper presents evidence that "social capital" matters for measurable economic performance, using indicators of trust and civic norms from the World Values Surveys for a sample of 29 market economies. Memberships in formal groups—Putnam's measure of social capital—is not associated with trust or with improved economic performance. We find trust and civic norms are stronger in nations with higher and more equal incomes, with institutions that restrain predatory actions of chief executives, and with better-educated and ethnically homogeneous populations.

/pdf/does-social-capital-have-an-economic-payoff-a-cross-country-495nwir3gz.pdf

Does Social Capital Have an Economic Payoff? A Cross-Country Investigation

In his bestselling "The End of History and the Last Man", Francis Fukuyama argued that the end of the Cold War would also mean the beginning of a struggle for position in the rapidly emerging order of 21st-century capitalism. In "Trust", a penetrating assessment of the emerging global economic order "after History", he explains the social principles of economic life and tells us what we need to know to win the coming struggle for world dominance. Challenging orthodoxies of both the left and right, Fukuyama examines a wide range of national cultures in order to divine the underlying principles that foster social and economic prosperity. Insisting that we cannot divorce economic life from cultural life, he contends that in an era when social capital may be as important as physical capital, only those societies with a high degree of social trust will be able to create the flexible, large-scale business organizations that are needed to compete in the new global economy. A brilliant study of the interconnectedness of economic life with cultural life, "Trust" is also an essential antidote to the increasing drift of American culture into extreme forms of individualism, which, if unchecked, will have dire consequences for the nation's economic health.

Trust: The Social Virtues and the Creation of Prosperity

Seeing like a State: How Certain Schemes to Improve the Human Condition Have Failed

Fukuyama considers whether or not there is a direction to the history of mankind. He identifies two powerful forces guiding our actions: the logic of desire (the rational economic process); and the desire for recognition, which he describes as the very motor of history.

/pdf/the-end-of-history-and-the-last-man-4cadt2b2n4.pdf

The End of History and the Last Man

This article is reprinted with the permission of the Washington quarterly. The National Interest edited by Owen Harries and Robert W. Tucker. It has received a great deal of attention and comment in the United States and France where it has been reprinted in Commentaire. Discussion is invited on Francis Fukuyama's important thesis (which was published before recent events in China). Francis Fukuyama is deputy director of the State Department's policy planning staff and former analyst at the RAND Corporation.

The end of history

Social capital is an instantiated informal norm that promotes co-operation between individuals. In the economic sphere it reduces transaction costs and in the political sphere it promotes the kind of associational life which is necessary for the success of limited government and modern democracy. While it often arises from iterated Prisoner's Dilemma games, it also is a byproduct of religion, tradition, shared historical experience and other types of cultural norms. Thus, while awareness of social capital is often critical for understanding development, it is difficult to generate through public policy.

/pdf/social-capital-civil-society-and-development-14grq9yuom.pdf

Francis Fukuyama

Papers

Trust: The Social Virtues and the Creation of Prosperity

Seeing like a State: How Certain Schemes to Improve the Human Condition Have Failed

The End of History and the Last Man

The end of history

Social capital, civil society and development