jats:titleAbstract</jats:title>jats:pThere has been increased interest in character strengths or virtues in recent years in social research and in various policy domains. However, while the notion of virtue has gained credibility in the fields of positive psychology and moral philosophy, it has yet to be satisfactorily considered from the perspective of social theory – in spite of the ongoing calls of researchers who have identified the need for further investigation into the role of culture and social context in the development of individuals' characters. In order to consider how good character and excellence in specific virtues are formed and sustained in social context, this article gives a theoretical account of character and virtue using well‐known microsociological concepts. It is argued that whereas virtues are often understood as psychological ‘traits’ or ‘dispositions’, they are also socially practiced and represented. Analyses of their related social processes are therefore appropriate and empirically promising, particularly in institutional settings, and can complement other theoretical and methodological approaches.</jats:p>