ABSTRACT

This chapter explores the economic action and social action in the transformation of Taiwan’s small and medium enterprises. According to overall observation in the fi eldwork, transformation is related to complicated social action. Therefore, enterprise focuses not only on economic capital formation but also on concentrating social capital cultivation. Social capital plays an important role in transferring social resources while business faces external challenges. To more deeply understand the relationship between social capital and enterprise action in the transformation process, we fi rst discuss organization activity and network activity in Taiwan’s small and medium businesses.