It is also used quite frequently in george homans social exchange theory pdf business world to imply a two-sided, mutually contingent and rewarding process involving transactions or simply exchange. He defined social exchange as the exchange of activity, tangible or intangible, and more or less rewarding or costly, between at least two persons.
After Homans founded the theory, other theorists continued to write about it, particularly Peter M. Emerson, who in addition to Homans are generally thought of as the major developers of the exchange perspective within sociology. Homans’ work emphasized the individual behavior of actors in interaction with one another. Although there are various modes of exchange, Homans centered his studies on dyadic exchange. John Thibaut and Harold Kelley are recognized for focusing their studies within the theory on the psychological concepts, the dyad and small group. Success proposition: When one finds they are rewarded for their actions, they tend to repeat the action.