Abstract
In a knowledge-based economy with increasing competition, firms are under pressure to enhance their innovation capability. Social capital theory advances the idea that social capital promotes firm-level innovation. However, little is known about the process by which social capital of a firm translates into innovation outcomes such as implementation of big data initiatives. Little research has been done on what role information technology plays, if any, in this translation process. In this paper, we investigate how relational capital, a form of social capital, in the presence of social media and IT platforms, impacts innovation in the form of assimilation of big data technologies. The direct and indirect effects of the three variables: social media, relational capital and IT platform is studied. Direct effects of the three variables on big data innovation is established. Social media and IT platforms are found to significantly add to the positive relationship between relational capital and big data innovation.
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