A bazaar can function as an organization through merchants’ social capital.

Evidence

In the Kahn El Khalili market of Cairo, the boundaries between merchants are difficult for an outsider to discover. The owner of a shop that specializes in leather will, when queried about where one can find a certain kind of jewelry, turn out to sell that as well-or, what appears to be nearly the same thing, to have a close associate who sells it, to whom he will immediately take the customer. Or he will instantly become a money changer, although he is not a money changer, merely by turning to his colleague a few shops down. For some activities, such as bringing a customer to a friend’s store, there are commissions; for others, such as money changing, merely the creation of obligations. Family relations are important in the market, as is the stability of proprietorship. The whole market is so infused with relations of the sort I have described that it can be seen as an organization, no less so than a department store. Alternatively, one can see the market as consisting of a set of individual merchants, each having an extensive body of social capital on which to draw, through the relationships of the market. — Coleman, SocialCapitalCreation-1988, 63

Categorization

• XREF: Echoes the network/embeddedness arguments of Granovetter and of economic sociology of marketplaces; also resonates with bazaar-vs-department-store contrasts in economic anthropology. — connects to: Social capital accrues value to others beyond those who create it. — Coleman, SocialCapitalCreation-1988, 208; Trust-based obligations function as exchangeable credit within social relationships.; Cohesive minority groups sustain commerce through shared law and reputation. — Lisa Bernestein, Opting out of the Legal System, 182
• SEED: A vivid real-world example of how relational obligations substitute for formal institutions — a strong anchor for an essay or article on informal economies and trust networks.

Related

• Dense social relations sustain many non-fungible outstanding obligations. (similarity 0.78)

Broader Connections

• Social capital accrues value to others beyond those who create it. #expands (0.85) — Coleman, SocialCapitalCreation-1988, 208
• Trust-based obligations function as exchangeable credit within social relationships. #expands (0.80)
• Cohesive minority groups sustain commerce through shared law and reputation. #corroborates (0.78) — Lisa Bernestein, Opting out of the Legal System, 182