Caste-Based Homophily and Value Delivery in a Service Context

Evidence from an Emerging Market

Bibliographic Data

ID22410187
AuthorsAindrila Chatterjee (0000-0002-1799-5628, Institute of Management Technology), Amit J Chauradia (0000-0003-0936-4823, University of South Florida, Tampa, FL, USA), Kiran Pedada (0000-0003-3840-891X, University of Manitoba, Winnipeg, Canada, corresponding author)
Year2026
Publication date2026-07-15
Open AccessYes
TypeARTICLE
VenueBusiness & Society (JOURNAL)
Journal identifiersISSN: 0007-6503 • E-ISSN: 1552-4205
PublisherSAGE Publications (PUBLISHER • US)
DOI10.1177/00076503261465114
OpenAlexW7168411918
LanguageEN
References cited35

Delivering value to consumers is a key challenge faced by social enterprises in emerging markets in which local social structures govern access to markets. We investigate how caste, a hierarchical social structure, impacts value delivered to consumers. Using data on 160,963 service provider-consumer transactions in rural India, we theorize that caste-based homophily occurs when the service provider and consumer are in the same caste category, and this results in 58% more value delivered compared to caste-mismatch interactions. However, if a consumer is disadvantaged due to physical disability or cognitive vulnerability, the value delivered by the service providers of the same caste category is reduced by 60%, while the value delivered by service providers in a lower caste category is increased substantially, by more than 6 times. Our findings uncover the nuanced role of caste and highlight pathways for leveraging local social structures to reduce inequalities and foster inclusive value delivery.

Caste · Disadvantaged · Homophily · Service (business) · Service provider · Value (mathematics) · Value proposition · Consumer Behavior in Brand Consumption and Identification · Innovation and Socioeconomic Development · Service and Product Innovation

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