The Impact of social capital on exploratory innovation activities

Abstract

The inadequate use of social capital to improve exploratory innovation activities is a phenomenon observed amongst countries within the world. The previous literature states that social capital enhances the exploratory innovation activities. However, identification of the factors which enhance the effectiveness of the relationship at the individual level is limited. Hence, in response to the social capital theory and social network theory, this paper attempts to examine the effect of social capital and exploratory innovation activities by explaining network perspectives of social capital. The cross-sectional survey was conducted covering 250 managerial level employees employed within the IT sector. The network perspectives of social capital: Bonding, Bridging and Linking social capital was measured through structured self-administered questionnaire and was analyzed using Structured Equation Modelling through AMOS 21. The empirical data identified that the influence of network perspective social capital on exploratory innovation activities is positive and significant. Thus, the current study recommends in order to take the maximum advantage of the available social capital, the Managers must pay attention to the nature and strength of the networks.