SOCIAL CAPITAL AS ONE OF DETERMINANTS IN MANAGING LOCAL DEVELOPMENT

The process of local development should be non-accidental, or just controlled, but to deepening the processes of globalization and integration requires deliberate action, even programming the next steps, operations, and selection of appropriate instruments. This is the domain of local development management, whose effectiveness requires a careful analysis of local potential and adequate selection of tools that encourage this development. The more difficult is the task of the communities that can not benefit from the attractive location and values cherished in tourism. In such communities, management should focus on endogenous resources and support the creation of social capital through which access to other capital generating local development is easier, and their efficiency higher. The purpose of this article is to present the evolution of the understanding of local development and advance the development of tools and tangible hard towards irrational and soft local development management tools . It is argued that changes in local development tools leads to a conclusion that a key determinant of soft factors in the management of local development is social capital