– The purpose of this paper is to investigate “embeddedness” of business relationships within social relationships of Danish farmer investors (DFI) concerning agricultural investment and expansion abroad.
– Based on a survey of 61 DFIs operating abroad, information is elicited regarding their organisational network connections in terms of business and social relationships to other DFIs also operating abroad.
– Results indicate that cooperation and received and given advice are positively related to social ties, whereas competition is negatively related, thereby supporting the idea that business relationships are embedded in social relationships. This implies that actors may behave less cooperatively in new institutions where they compete for scarce resources.
– This paper assesses what happens when farmers change from the stable Danish environment to a foreign one. Will they be still cooperating with each other or they will adjust to the new institutions?
