Measuring enterprises' investments in social capital: A pilot study

Westlund H. and Nilsson E. (2005) Measuring enterprises' investments in social capital: a pilot study, Regional Studies 39 , 1079-1094. Research into the impact of social capital on economic growth has focused mainly on the social capital related to the civic society. Social capital related to business enterprises has received little attention. This pilot study aims to develop a method of measuring investment by enterprises in social capital and to study possible connections between the enterprises' investments in social capital and their economic growth. Based on a network approach, the paper makes a distinction between the networks' links and the norms, values, etc. that are created and sustained by the nodes (i.e. the enterprises and other actors) and distributed via the links. The study has been limited to measurement of the links. Three types of link are analysed: (1) direct investment in social links; (2) investment in economic links forming the basis of social links; and (3) investment in social links originating from economic links.