Editing Social exchange theory (section)

===Business===
Social exchange theory has served as a theoretical foundation to explain different situations in business practices. It has contributed to the study of organization-[[stakeholder (corporate)|stakeholder]] relationships, [[supply network]] relationships,<ref name=holm>Holmen, E. and Pedersen, A., [https://web.archive.org/web/20170808065426/https://impgroup.org/uploads/papers/201.pdf Knowledge and Ignorance of Connections between Relationships], 17th Annual IMP Conference
9-11 September 2001, Oslo, Norway, archived on 8 August 2017, accessed on 23 August 2024</ref> and [[relationship marketing]]. The [[investment model of commitment|investment model]] proposed by [[Caryl Rusbult]] is a useful version of social exchange theory. According to this model, investments serve to stabilize relationships. The greater the nontransferable investments a person has in a given relationship, the more stable the relationship is likely to be. The same investment concept is applied in relationship marketing. [[Database]]s are the major instrument to build differentiated relationships between organizations and customers. Through the information process, companies identify the customer's own individual needs. From this perspective, a client becomes an investment. If a customer decides to choose another competitor, the investment will be lost.<ref name="georgetown2005"/> When people find they have invested too much to quit a relationship or enterprise, they devote additional resources to the relationship to salvage their initial investment.

Exchange has been a central research thrust in [[business-to-business]] relational exchange.<ref name="Lambe, C. Jay 2001"/> According to a study conducted by Lambe, C. Jay, C. Michael Wittmann, and Robert E. Spekman, firms evaluate economic and social outcomes from each transaction and compare them to what they feel they deserve. Firms also look for additional benefits provided by other potential exchange partners. The initial transaction between companies is crucial to determining whether their relationship will expand, remain the same or will dissolve.<ref name="Lambe, C. Jay 2001"/> Holmen and Pedersen note that social exchange theory has contributed to the understanding of "connected" business relationships between firms.<ref name=holm />