PurposeThe paper contributes to the long-standing interest in studying the relationship of social capital and trust. It examines the relationship between social capital and trust in a producer company and the role of perceived benefits as a mediating variable.Design/methodology/approachA multistage sampling was done to collect data from 395 farmer members from five producer companies spread over three states of India. Through exploratory factor analysis (EFA) and confirmatory factor analysis (CFA) latent constructs were mapped, and composite reliability and construct validity were established. PROCESS macro of Statistical Product and Service Solutions (SPSS) was used to probe relationship between social capital and member's trust and mediation effect of perceived benefit.FindingsThe authors’ research findings establish that the social capital has a positive and significant relationship with members' trust in a producer company and perceived benefit mediates this relationship.Research limitations/implicationsThe paper contributes to reduce complexity of social capital theory by differentiating sources and benefits of social capital. It opens up the avenues of testing theoretically valid mediation effects of many other constructs.Originality/valueThe role of member's perceived benefits as a mediator between social capital and members' trust is a new knowledge to the literature of social capital.
This research, done at the intersection of benevolent leadership style and for-profit social entrepreneurship, examines the research question: How does a benevolent leader, concerned for ecological sustainability, drive a for-profit social enterprise? Adopting a case approach, the phenomenon has been probed within the bounded context of SOS Organics—a for-profit social enterprise—located in a remote village of Uttarakhand state of India. The data was collected from multiple sources and thematic analysis was used to identify themes. The study produced three key findings. First, the study could extract two themes of benevolent leadership—striving for the common good and concern for others. Second, it could extend the understanding of social entrepreneurship by identifying two themes—social value creation and developing innovative business models. Third, it proposed a process framework by capturing the journey of SOS promoters towards the benevolent social entrepreneur over two decades. This study contributes to the literature on the intersection of benevolent leadership and social entrepreneurship by creating a deeper meaning of the constructs. Finally, the study offers suggestions for managers and practitioners to adopt a benevolent leadership style in the social entrepreneurship context to achieve their social mission.
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