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Engaging Social Capital through Participative Decision-Making Processes

The concept of “social capital” has gained significant attention from economists, sociologists, managers, public organizations, nonprofit organizations, and citizens. Using the concept of social capital, this paper investigates the role that participative decision-making processes have in implementing socio-economic policies that influence the growth of territories. More specifically, this study suggests that the relatively novel practice of involving citizens, organizations, firms and other actors in making decisions, as well as the structure of specific organizations, affects and is affected by social capital. The bi-directional interconnection between social capital and participation in decision-making processes is discussed in a general model. A single case study is used to discuss the model, and the implications and limitations of this study are discussed.