Distance creates proximity: Unraveling the influence of geographical distance on social proximity in interorganizational collaborations

A vital ingredient for the success of interorganizational collaboration projects is strong personal relationships among the partners. Their formation is structured by geographical distances between partners. In the corresponding research, it is assumed that geographic distance inhibits face-to-face interactions, which are highly effective for tie-formation. However, findings from adjacent fields of research suggest that greater distances can also be conducive to the development of personal relations. In this paper, we unravel these contradictions. Empirically, we examine the development of 2132 personal ties between individuals from 20 government-funded interorganizational innovation projects using a mixed-method design. Statistical analysis of the data reveals a U-shaped correlation between geographical and social proximity. Contrary to common assumptions, large geographical distances are found to be particularly conducive to forming relationships. The qualitative data explains this finding by identifying and systematically relating five practices which are associated with specific distances and which are (differently) effective for tie-formation.