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We propose that social projection – assuming a connection between your and others’ attitudes – can promote participation in generalized exchange.

Drawing on the social projection literature, we posit that false consensus (overestimating the similarity between our attitudes and others’) can increase people’s willingness to participate in generalized exchange. In contrast, we expect that pluralistic ignorance (underestimating the similarity between our attitudes and others’) can undermine the same motivation. We propose that false consensus will not only make people more inclined to participate in generalized exchange but also lead to more successful exchanges through an advantageous self-selection process. Finally, we propose that perceived similarity will lead to false consensus, and in turn, increased participation in generalized exchange, whereas perceived dissimilarity will lead to pluralistic ignorance.

We suggest several ways to influence false consensus in order to promote a healthy pattern of generalized exchange.

We put forth a set of novel predictions concerning the relationship between social projection and social exchange. Our theorizing contributes to the existing literature on antecedents of generalized exchange.

This chapter analyzes the ways that individuals develop person-to-group ties. The chapter reviews the development and evidentiary basis of the theory of relational cohesion, the affect theory of social exchange, and the theory of social commitments.

We survey twenty-five years of published literature on these theories, and review unpublished theoretical tests and extensions that are currently in progress.

The research program has grown substantially over the past twenty-five years to encompass more varied and diverse phenomena. The findings indicate that structural interdependencies, repeated exchanges, and a sense of shared responsibility are key conditions for people to develop affective ties to groups, organizations, and even nation-states.

The research implies that if people are engaged in joint tasks, they attribute positive or negative feelings from those tasks to their local groups (teams, departments) and/or to larger organizations (companies, communities). To date, empirical tests have focused on microlevel processes.

Our work has practical implications for how managers or supervisors organize tasks and work routines in a way to maximize group or organizational commitment.

This research helps to understand problems of fragmentation that are faced by decentralized organizations and also how these can be overcome.

The chapter represents the most complete and comprehensive review of the theory of relational cohesion, the affect theory of social exchange, and the theory of social commitments to date.

This paper theorizes the role of shared responsibility in the development of affective group attachments, interweaving ideas from social exchange and social identity theories. The main arguments are that (1) people engaged in task interaction experience positive or negative emotions from those interactions; (2) tasks that promote more sense of shared responsibility across members lead people to attribute their individual emotions to groups or organizations; and (3) group attributions of own emotions are the basis for stronger or weaker group attachments. The paper suggests that social categorization and structural interdependence promote group attachments by producing task interactions that have positive emotional effects on those involved.

The purpose of this theoretical chapter is to rework a promising but limited theory of the foundations of reciprocity. Reciprocity is often attributed to an “internalized norm of reciprocity” – a deeply felt moral obligation to help those who have helped us in the past. Leifer's theory of local action develops a radically different and compelling foundation for reciprocity – one in which the impetus for reciprocity is a thinly veiled battle for status. We rework the theory to offer a new one that addresses its limitations. The key idea is that the impetus for reciprocity is the desire to signal that one intends to create joint value rather than to capture it from the counterparty.

Our analytical approach rests on close examination of a puzzling and underrecognized feature of social exchange: people who initiate social exchange routinely deny giving anything of value (“it was nothing”) while the receiver inflates their indebtedness to the giver (“this is too much!”). We refer to this negotiation strategy as reverse bargaining and use it as a window into the logic of social exchange.

We develop a more general theory of how people manage the threat of opportunism in social exchange that subsumes local action theory. The key insight is that people who initiate social exchange and seek reciprocity must balance two competing objectives: to ensure that the person receiving a benefit recognizes a debt she must repay; and to mitigate the receiver's suspicion that the giver's ulterior motive is to capture value from the receiver.

The employee-organization relationship (EOR) has increasingly become a focal point for researchers in organizational behavior, human resource management, and industrial relations. Literature on the EOR has developed at both the individual – (e.g. psychological contracts) and the group and organizational-levels of analysis (e.g. employment relationships). Both sets of literatures are reviewed, and we argue for the need to integrate these literatures as a means for improving understanding of the EOR. Mechanisms for integrating these literatures are suggested. A subsequent discussion of contextual effects on the EOR follows in which we suggest that researchers develop models that explicitly incorporate context. We then examine a number of theoretical lenses to explain various attributes of the EOR such as the dynamism and fairness of the exchange, and new ways of understanding the exchange including positive functional relationships and integrative negotiations. The article concludes with a discussion of future research needed on the EOR.

The research community currently employs four very different versions of the social network concept: A social network is seen as a set of socially constructed role relations (e.g., friends, business partners), a set of interpersonal sentiments (e.g., liking, trust), a pattern of behavioral social interaction (e.g., conversations, citations), or an opportunity structure for exchange. Researchers conventionally assume these conceptualizations are interchangeable as social ties, and some employ composite measures that aim to capture more than one dimension. Even so, important discrepancies often appear for non-ties (as dyads where a specific role relation or sentiment is not reported, a specific form of interaction is not observed, or exchange is not possible).

Investigating the interplay across the four definitions is a step toward developing scope conditions for generalization and application of theory across these domains.

This step is timely because emerging tools of computational social science – wearable sensors, logs of telecommunication, online exchange, or other interaction – now allow us to observe the fine-grained dynamics of interaction over time. Combined with cutting-edge methods for analysis, these lenses allow us to move beyond reified notions of social ties (and non-ties) and instead directly observe and analyze the dynamic and structural interdependencies of social interaction behavior.

This unprecedented opportunity invites us to refashion dynamic structural theories of exchange that advance “beyond networks” to unify previously disjoint research streams on relationships, interaction, and opportunity structures.

This chapter applies social exchange theory to corruption. If two parties exhibit corrupt behaviors, secrecy becomes a new joint good, making the two parties more dependent on each other (an increase in total power). Since no external enforcement mechanisms are available in illicit exchanges, the initial reciprocal exchange pattern shifts toward negotiated or productive forms of exchange. Such forms of exchange, however, tend to leave traces, either because the amount of traded resources increases or the contingencies between the behaviors become more visible to the outside. Using the larger network structure, in which corrupt exchanges are embedded, to deal with the problem of detection also is Janus-faced. Adding more ties to the exchange increases either the competition between several potential exchanges partners (exclusively connected network) or the risk of nonreciprocity and whistle blowing (positively connected network). By showing that illicit relations are inherently unstable, we specify some of the scope conditions of social exchange theory.

To investigate two explanations for how variations in social network structure might produce differences in cognitive and perceptual orientation. One explanation is that the extent to which structures lead people to feel strong social bonds encourages holism. The other is that the extent to which a network leads individuals to be concerned about distal network relations leads to holistic thinking.

An experimental study in which participants interacted in three-person networks of negotiated (with or without a one-exchange rule), generalized, or productive exchange before being administered the framed-line test, a common measure of cognitive and perceptual orientation.

Participants in network structures more likely to lead participants to be concerned about what was happening in relationships in the network of which they were not part performed relatively more holistically on the framed-line test. However, these effects did not extend to both modules of the test, and a check on the ordering of networks as reflecting concern with distal network relationships failed.

The experimental design was structured such that only one of the presented explanations could possibly be supported, whereas they both could be correct. Nevertheless, results do indicate that cognitive orientation did respond to variations in network structure.

Explanations for cultural differences typically implicate social structure, although the explanations often cannot be directly tested. Results show that social structure can produce effects that mirror differences thought to reflect profound cultural variations.

Accumulating evidence suggests that Team-member exchange (TMX) influences employee work attitudes and behaviours separately from the effects of leader-member exchange (LMX). In particular, little is known of the effect of LMX differentiation (in-group versus out-group) as a process of social exchange that can, in turn, affect TMX quality. To explore this phenomenon, this chapter presents a multi-level model of TMX in organizations, which incorporates LMX differentiation, team identification, team member affect at the individual level, and fairness of LMX differentiation and affective climate at the group-level. We conclude with a discussion of the implications of our model for theory, research, and practice.

This paper illuminates the distinction between individual and organizational actors in business-to-business markets as well as the coexistence of formal and informal mechanisms of coordination in multinational corporations. The main questions addressed include the following. (1) What factors influence the occurrence of personal contacts of foreign subsidiary managers in industrial multinational corporations? (2) How such personal contacts enable coordination in industrial markets and within multinational firms? The theoretical context of the paper is based on: (1) the interaction approach to industrial markets, (2) the network approach to industrial markets, and (3) the process approach to multinational management. The unit of analysis is the foreign subsidiary manager as the focal actor of a contact network. The paper is empirically focused on Portuguese sales subsidiaries of Finnish multinational corporations, which are managed by either a parent country national (Finnish), a host country national (Portuguese) or a third country national. The paper suggests eight scenarios of individual dependence and uncertainty, which are determined by individual, organizational, and/or market factors. Such scenarios are, in turn, thought to require personal contacts with specific functions. The paper suggests eight interpersonal roles of foreign subsidiary managers, by which the functions of their personal contacts enable inter-firm coordination in industrial markets. In addition, the paper suggests eight propositions on how the functions of their personal contacts enable centralization, formalization, socialization and horizontal communication in multinational corporations.