Does a micro-macro link exist between managerial value of reciprocity, social capital and firm performance? The case of SMEs in China

Wei Ping WU, Alicia LEUNG

Research output: Journal PublicationsJournal Article (refereed)

76 Citations (Scopus)


With the deepening of China's economic reform, SMEs are starting to gain tremendous economic momentum and play an increasingly irreplaceable role in China's century-long bid for economic resurgence. Using a micro-macro link approach, this study investigates the effects of managerial value of reciprocity on both social capital and firm performance in China's rural SMEs. A structural equation modelling method was used to test hypotheses. Data from 177 SMEs in China provide supporting evidence that there exists a micro-macro link from managerial value of reciprocity, to social capital (trust) and to firm performance (both overall performance and competitiveness improvement).
Original languageEnglish
Pages (from-to)445-463
Number of pages19
JournalAsia Pacific Journal of Management
Issue number4
Publication statusPublished - 1 Dec 2005



  • China
  • Managerial value of reciprocity
  • Performance
  • Rural SMEs
  • Social capital
  • Transaction cost economics

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