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The Mediating Role of Value Capture – Investigating Determinants of Social Capital on OI Platforms

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In this study, we draw on social capital theory to address the challenge of open innovation (OI) platforms to establish sustained knowledge exchange between platform participants by overcoming the fear of being exploited and the inherent lack of trust in a rather anonymous setting. Social capital theory provides a comprehensive framework for examining the nature of social connections through its focus on both structural networks and interpersonal relationships. Prior research has recognized that social capital is an essential stock variable to activate and maintain knowledge exchange between participants of a network – however, this construct is not yet established in the context of OI platforms. Results of an empirical study of 61 OI platforms show that a high level of decentralized control among seekers, solvers and the intermediary is positively related to social capital and that this effect is mediated by securing value capture for the crowd. The results suggest that it is crucial to (re-)design OI platforms in terms of decentralizing control during joint value creation, i.e. sharing power among stakeholder groups, while securing value capture in order to build social capital in a digital collaboration context.
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... However, in practice, open innovation intermediaries still play an important role. Adjusting to changing demands, many move from providing access to their own pool of solvers, to building brand-specific open innovation platforms with a software-as-service business model or offer consulting services to facilitate open innovation activities along the innovation process (Leckel, 2020). ...
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A market study of intermediaries, brokers, platforms, and facilitators helping organizations to profit from open innovation and customer co-creation. This market study surveyed 106 intermediaries, investigating their open innovation services offered, project specifics, business model, productivity, and characteristics of their participant pool. In addition, OIA clients and solution providers have been interviewed In total, this study is the largest inquiry of the global market of open innovation.
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This study explores how the motivation and knowledge of individuals participating in innovation projects broadcast on the Internet affect their contribution performance. By analyzing a data set that combines information from the content analysis of postings and matched survey data from contributors, we find that extrinsic and intrinsic motivations affect the number of different types of contributions to solution threads. While extrinsic desire for monetary rewards tends to be positively related to the making of non-substantial contributions, intrinsic enjoyment tends to breed more substantial postings, and knowledge diversity facilitates all types of contributions to open innovation projects. This study also finds support for interaction effects between motivation and knowledge diversity. We identify the most valuable contributors as those who combine high levels of intrinsic enjoyment in contributing with a cognitive base fed from diverse knowledge domains. Our research complements emerging findings on the individual performance of external problem solvers in crowdsourcing and broadcast search. The findings will be useful for platform managers striving to attract potentially valuable participants to ensure high levels of substantial contributions to innovation challenges.
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Social capital as a concept has over the last decade or more been gaining significance in relation to a number of linked fields of analyses, including the identification of factors influencing educational attainment; explanations of differing levels of participation in formal and informal adult education; and conditions necessary to the construction and enhancement of institutions and practices conducive to lifelong learning. Within these contexts, social capital has come to be defined in a variety of ways, all of which have been linked to collective norms, values and relationships reflecting the involvement of human individuals in 'a common life based on family and community'. In this respect, social capital enhancement appears to have direct links with community development education in that community development is generally defined as a social learning process which serves to empower individuals and to involve them as citizens in collective activities aimed at socio-economic development. In this contribution, the author questions the validity and efficacy of social capital as an analytical concept in the field of adult education research by exploring a number of key issues related to the assumed links between community development and social capital enhancement. The analysis is based on research currently being conducted by the School of Social and Community Sciences of the University of Ulster.
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This conceptual paper analyses why social capital is important for learning and economic development, how it is created and its geography. It argues that with the rise of globalisation and learning-based competition, social capital is becoming valuable because it organises markets, lowering business firms' costs of co-ordinating and allowing them flexibly to connect and reconnect. The paper defines social capital as a matrix of various social relations, combined with particular normative and cognitive social institutions that facilitate co-operation and reciprocity, and suggests that social capital is formed at spatial scales lower than the national or international, because the density of matrices of social relations increases with proximity. The paper also offers a discussion of how national and regional policies may be suited for promoting social capital.
Article
This paper starts with a discussion of definitions of social capital, then turns to issues in measurement, and finally, presents some evidence on the consequences of social capital. In the last five years, I have been working exclusively on some specific and perhaps unique problems about social capital in the United States, so all of my examples are going to be drawn from the United States experience. I don’t want to be interpreted as saying these trends are common to all OECD countries. It is just that the United States has been the main focus of my research for the past five years. There are, among those of us who work in the area, some marginal differences in terms of exactly how we would define social capital, but Michael Woolcock correctly says in his paper that among the people who are working in this field, there has been a visible convergence, definitionally, toward something like the definition he offers. The central idea of social capital, in my view, is that networks and the associated norms of reciprocity have value. They have value for the people who are in them, and they have, at least in some instances, demonstrable externalities, so that there are both public and private faces of social capital. I am focussing largely on the external returns, the public returns to social capital, but I think that is not at all inconsistent with the idea that there are also private returns. The same is no doubt true in the area of human capital, i.e. there are simultaneously public and private returns. In the great debate of the two Cambridges about "capital", the focus of much of the discussion was on whether physical capital was homogeneous enough to be susceptible to aggregate measurement. There is room for similar debates about human and social capital. Obviously there are many different forms of physical capital. For instance, both an egg-beater and an aircraft carrier enter into the American national accounts as little bits of physical capital, and yet they are not interchangeable. Try fixing your morning omelette with an aircraft carrier, or try attacking the Serbs with an eggbeater. The same thing is true about social capital. Social capital is certainly far from homogeneous.
Article
Current democratic theory and recent international policy initiatives reveal an intense interest in the relationship between social capital and democracy. This interest is the most recent variant of a long theoretical tradition positing that a vigorous associational life is beneficial for the creation and maintenance of democracy. Despite the popularity of this view, little quantitative empirical evidence exists to support the relationship. Here, the relationship between social capital and democracy is tested using data from a large, quantitative, cross-national study. Two additional tests are introduced. First, the plausible reciprocal effect-from democracy to social capital-is included in models. Second, the potentially negative impact of some associations on democracy is considered. Using data from the World Values Survey and the Union of International Associations in a cross-lagged panel design, results show that social capital affects democracy and that democracy affects social capital. Additional tests demonstrate that associations that are connected to the larger community have a positive effect on democracy, while isolated associations have a negative effect. Theory relating social capital to democracy is drawn from the literature on civil society, political culture, and social movements.
Article
R apid environmental changes and recent technological advances have triggered and accelerated the use of virtual teams. A virtual team is a collection of individuals who are geographically or otherwise dispersed, and who collaborate via communication and information technologies in order to accomplish a specific goal. A growing number of organizations are adopting virtual team systems to meet needs such as globalization, higher productivity, cost savings, and improved customer service. In spite of the rapid proliferation of virtual teams, very little attention has been paid to how they can function effectively. Theories on team processes have often been based on work conducted in nonvirtual teams. However, recent studies on virtual teams demonstrate that the way virtual teams manage internal conflict is critical to their success. Therefore, exploring what leads to conflict in virtual teams, and how it can be resolved, would not only contribute to the body of literature on conflict resolution but also help virtual teams enhance their effectiveness. Thus, the purpose of this paper is to explore sources of conflict in virtual teams and develop conflict resolution systems for such teams. In this paper, first the definition and the characteristics of a virtual team are addressed. Second, sources of conflict in virtual teams are identified. Third, virtual negotiation and mediation systems are introduced as conflict resolution mechanisms for virtual teams. Finally, ways of training conflict resolution skills in virtual settings are suggested.
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Propositions about the influence of environmental constraints on organizational behavior are rare, but they are essential in administrative science. Behavior depends on the patterns of inputs from the environment to an organization and on the interpretation of these inputs as tasks by members of the organization. A study of two Norwegian firms shows how the autonomy of managerial personnel-their decisions for and against independent action-may be influenced by the structure of the environment, by the accessibility of information about the environment, and by managerial perceptions of the meaning of environmental information.
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Reputations emerge if an actor's future partners are informed on his present behavior. Reputations depend on the "embeddedness" of interactions in structures or networks of social relations. They illustrate the effects of such embeddedness on the outcomes of interactions.This article presents simple game-theoretic models of reputation effects on efficiency (in the Pareto sense) in interactions. In a comparative perspective, the authors start with a baseline model of a social system in which reputation effects (of a specific kind) are excluded: actors do not receive information on their partners' behavior in interactions with third parties. Such a system of "atomized interactions" is compared to a system with interactions that are "perfectly embedded": actors are immediately informed on all interactions of their partners with third parties.Efficiency is more easily attained as a result of individually rational behavior in perfectly embedded systems. In a final step, the comparative perspective is broadened, and the extreme assumptions of either an atomized or a perfectly embedded social system replaced. Intermediate cases arise in the consideration of "imperfect embededness," that is, a situation in which actors are informed only after some time lag on the behavior of their partners vis-a-vis third parties. It is shown that the conditions for efficiency become more restrictive as the information time lag lengthens.