What Does Homophily Do? A Review of the Consequences of Homophily

Abstract

Understanding the consequences of homophily, which is among the most widely observed social phenomena, is important, with implications for management theory and practice. Therefore, we review management research on the consequences of homophily. As the consequences of homophily have been studied at the individual, dyad, team, organizational, and macro levels, we structure our review accordingly. We highlight findings that are consistent and contradictory, as well as those that point to boundary conditions or moderators. In conducting our review, we also derive implications for management research from insights gained by research in other disciplines on this topic. We raise specific issues and opportunities for future research at each level, and conclude with a discussion of broader future research directions, both empirical and conceptual, that apply across levels. We hope that our review will open new vistas in research on this important topic.