Social Exchange Theory

In this chapter we will begin with the basics of social exchange theory as they were developed from an application of principles drawn from economics, psychology, and sociology particularly as related to small groups. We will then turn our attention to how this theory has been specifically applied to communication and personal relationships

Exploring Social Exchange Theory Dynamics in Native American Casino Settings

The proliferation of Native American casino (NAC) gambling over the past few decades has generated a concern over the social, economic, and environmental impacts. This study examined the local resident perceptions of casino gambling impacts and their subsequent support for the NACs within the Social Exchange Theory (SET) framework. It further applied a similar framework to the non-NAC settings. While majority of the impact constructs failed to generate support for the NACs in the presence of intervening variables, a significant application of SET appeared among the non-NAC communities. Benefits were found to be significant for facilitating higher levels of support for the nonNACs. Overall, the results indicated that SET is not a universal phenomena and nature of casino ownership is more likely to influence residents\u27 level of support

When Good Business Relationships Go Bad: A Quantitative Analysis of Dark Side Variables in Mature Supply Chain Relationships

This quantitative study examines the dark side effect of relationship variables on relationship financial performance and likelihood of relationship termination, moderated by relationship quality. The study tests propositions found in Social Exchange Theory. The cross-sectional survey was conducted with a population of logistics purchasers and providers. Three of ten hypotheses were supported; contributing evidence supporting the positive effect of relationship quality on the path between some relationship variables and performance, thereby corroborating Social Exchange Theory. The other hypotheses support the existence of the dark side effect of some relationship variables. Theoretically, this study strengthens the argument of Social Exchange Theory, while simultaneously supporting the earlier theoretical paths of Social Exchange Theory. Post-hoc testing illuminates the non-linear relationship of some of the independent variables, indicating the point of diminishing returns from earlier conceptualizations of Social Exchange Theory, and showing boundary conditions for the existing conceptualization of Social Exchange Theory

Bringing Emotions into Social Exchange Theory

We analyze and review how research on emotion and emotional phenomena can elaborate and improve contemporary social exchange theory. After identifying six approaches from the psychology and sociology of emotion, we illustrate how these ideas bear on the context, process, and outcome of exchange in networks and groups. The paper reviews the current state of the field, develops testable hypotheses for empirical study, and provides specific suggestions for developing links between theories of emotion and theories of exchange

How Can Social Networks Ever Become Complex? Modelling the Emergence of Complex Networks from Local Social Exchanges

Small-world and power-law network structures have been prominently proposed as models of large networks. However, the assumptions of these models usually lack sociological grounding. We present a computational model grounded in social exchange theory. Agents search attractive exchange partners in a diverse population. Agent use simple decision heuristics, based on imperfect, local information. Computer simulations show that the topological structure of the emergent social network depends heavily upon two sets of conditions, harshness of the exchange game and learning capacities of the agents. Further analysis show that a combination of these conditions affects whether star-like, small-world or power-law structures emerge.Complex Networks, Power-Law, Scale-Free, Small-World, Agent-Based Modeling, Social Exchange Theory, Structural Emergence

Strategic Flexibility In Information Technology Alliances: The Influence Of Transaction Cost Economics and Social Exchange Theory

Utilizing a model drawn from both transaction cost economics and social exchange theory, we analyze determinants of strategic flexibility in a sample of strategic alliances involved in joint development agreements or joint research pacts. Findings indicate that, in general, determinants suggested by transaction cost economics provided flexibility in modification and inflexibility in exit. From social exchange theory, trust was found to be positively related to both types of flexibility while another component of social exchange theory, dependence, was found to be negatively related to the strategic flexibility of the alliance. Results also found that factors suggested by both transaction cost economic theory and social exchange theory were related to the concept of trust. Economic constraints as suggested by transaction cost economics were positively related to trust between the alliance partners while dependence was negatively related to trust. Additionally, the quality of communication and the existence of shared values were positively related to trust between the exchange partners. Results provide support for the role of determinants from both transaction cost economics and social exchange theory in the flexibility of strategic alliances

Can Social Exchange Theory Explain Individual Knowledge-Sharing Behavior? A Meta-Analysis

Motivating people to contribute knowledge has become an important research topic and a major challenge for organizations. In order to promote knowledge-sharing, managers need to understand the mechanism that drives individuals to contribute their valuable knowledge. Several theories have been applied to study knowledge-sharing behavior. However, the research settings and findings are often inconsistent. In this study, we use the social exchange theory as our base to develop an extended model that includes IT support and organizational type as moderators. A meta-analysis on 29 reported studies was conducted to examine how different factors in the social exchange theory affect knowledge-sharing behavior. The findings confirm that the social exchange theory plays an important role underlying individuals’ knowledge-sharing behavior. The results also demonstrate that social interaction and trust derived from the social exchange theory and moderated by IT contextual factors can predict individual’s knowledge-sharing behavior

An integrative model of the management of hospital physician relationships

Hospital Physician Relationships (HPRs) are of major importance to the health care sector. Drawing on agency theory and social exchange theory, we argue that both economic and noneconomic integration strategies are important to effective management of HPRs. We developed a model of related antecedents and outcomes and conducted a systematic review to assess the evidence base of both integration strategies and their interplay. We found that more emphasis should be placed on financial risk sharing, trust and physician organizational commitment