Abstract
AbstractIn rural UK, businesses are often isolated and have much to gain from healthy networks, yet studies show that many rural business owners fail to network effectively. Information communications technologies offer new ways to network that might benefit rural businesses by expanding their reach. This study looked at online and face‐to‐face networking behaviour among rural micro‐enterprises in Scotland in relation to the development of bonding and bridging social capital. Given the challenges of remoteness faced by many rural businesses, online networking is particularly useful in developing bridging capital, but is an unsuitable context for building the trust needed to gain tangible benefits. The article therefore highlights the importance of face‐to‐face interactions in developing trust and bonding social capital. Rural business owners face distinctive challenges with respect to online communications, which are explored in this article.
Highlights
I n this article we focus on the networking behaviour of rural business owners as a key route to the development of social capital
The interviews in our study reveal how differently bonding and bridging social capital is developed and valued by rural micro-enterprise owners in Scotland
Respondents described how they use technology in order to develop and maintain social capital. For those in remote locations, using online tools such as Twitter to build networks can lead to larger numbers of connections than would have been possible using face-to-face networking, thereby reducing the barrier of distance and enhancing bridging social capital: We do a search of delis or farm shops on Twitter and follow them and they generally will have a look at your profile and either follow you back ... the price of fuel ... even if we weren’t based up in this part of Scotland, the cost of fuel to get round all these guys and get to know who they are would just be extortionate. (Interview 5)
Summary
I n this article we focus on the networking behaviour of rural business owners as a key route to the development of social capital. In rural UK businesses face distinctive challenges (Townsend et al 2013). Geographical remoteness isolates businesses from one another, suppliers and clients. Networking is arguably crucial for small businesses in order to overcome problems of remoteness and build social capital, yet studies show that rural business owners do not always network effectively (Burgess 2008). Social capital has gained popularity as a potential means of enhancing the social and economic sustainability of rural regions; in the EU, for example, through the LEADER programme (Shucksmith 2000), with such approaches highlighting the role of networks. The widespread need for improving social capital in
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