- Social Capital is an essential part of an effective business strategy.
- Business happens among people and people interact socially.
- Build your social capital and create productive business relationships.
Definition of 'Social Capital'An economic idea that refers to the connections between individuals and entities that can be economically valuable. Social networks that include people who trust and assist each other can be a powerful asset. These relationships between individuals and firms can lead to a state in which each will think of the other when something needs to be done. Along with economic capital, social capital is a valuable mechanism in economic growth.
Investopedia explains 'Social Capital'For example, if you know someone at a company where you are applying for a job and this connection helps you get the job at the company, you have used social capital. Social capital can also have negative effects. For example, if a social network is used for manipulative or destructive purposes that will affect the economy negatively, such as when a group colludes to fix market prices.
From the link: http://www.investopedia.com/terms/s/socialcapital.asp#ixzz1tVDWFOpj