The development dynamics of business networks

2018 ◽  
Vol 13 (1) ◽  
pp. 27-44 ◽  
Author(s):  
Douglas Wegner ◽  
Susana Costa e Silva ◽  
Greice De Rossi
Keyword(s):  
Life Cycle ◽  
Development Process ◽  
Public Support ◽  
Business Networks ◽  
Business Network ◽  
Content Type ◽  
Life Cycle Stages ◽  
Nuanced Understanding ◽  
Practical Implications ◽  
Current Stage

Purpose The purpose of this paper is to compare the development dynamics of two business networks initially created to promote the internationalization of its members. Wines of Brasil – a Brazilian wineries network – was established in 2002 and remains active, while Vitrocristal (VtC) – a Portuguese network of glass producers – was established in 1994 and is already closed. Design/methodology/approach Data were collected from 14 interviews, with network managers and representatives of companies with different sizes and participation times. Information obtained was compared with the life cycle model of Wegner et al. (2015) and enabled the authors to understand the dynamic development of each network and its current stage in the life cycle. Findings The results allowed the authors to describe the development pattern of both business networks, showing that the Brazilian network is in the consolidation stage while the Portuguese one finished its activities in 2007 after a period of financial constraints due to the end of governmental support. Practical implications The comparison of the two cases shows that the experience of the Portuguese business network may be useful for networks in emerging markets, as it displays several difficulties that the management of such networks may face during their life cycle. Originality/value This study provides a more comprehensive and nuanced understanding of the dynamics of change in business networks. The cases confirm the life cycle stages proposed by Wegner et al. (2015) and shed more light on the development process of business networks, by describing how exogenous variables such as public support may affect cooperation.

scholarly journals Exploring and extending the synergy concept – a study of three acquisitions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Johan Holtström ◽  
Helén Anderson
Keyword(s):  
Design Methodology ◽  
Business Networks ◽  
Structured Interviews ◽  
Business Network ◽  
Content Type ◽  
Dynamic Perspective ◽  
Acquisition Processes ◽  
A Company ◽  
Practical Implications ◽  
Managerial Perspective

Purpose This study aims to contribute with an extended framework on synergy realisation in acquisitions. The study conceptualises synergy realisation after acquisitions, in interaction with other companies in a business network and that synergy can be the result of both intended and not intended actions. Design/methodology/approach The study is based on a company involved in acquisitions, being both the acquirer and the acquired. The data for analysis were collected through semi-structured interviews with managers involved in the described acquisition processes. The semi-structured interviews were guided by overarching themes to cover relevant areas of the described acquisitions. Findings This study develops a framework in which synergy is used as a concept in business networks. The framework offers a more dynamic perspective on acquisition processes and extends the view of acquisition performance beyond more financial and company internal aspects of acquisition processes. Further, the findings show that related companies such as customers and suppliers, play important roles in synergy realisation. Practical implications From a managerial perspective, the study shows the importance of understanding the underlying forces of integration processes. Originality/value The concept of synergy used in this study not only includes the companies integrated in an acquisition but also their business networks. Including the integrated companies and their business networks provides a more dynamic perspective from which to plan and realise synergy.

Market investments in resource interfaces: understanding market assets in networks

IMP Journal ◽  
2016 ◽  
Vol 10 (3) ◽  
pp. 409-442 ◽  
Author(s):  
Frans Prenkert
Keyword(s):  
Design Methodology ◽  
Business Networks ◽  
Production Network ◽  
Business Network ◽  
Content Type ◽  
Different Types ◽  
Interaction Approach ◽  
Point Of Departure ◽  
Practical Implications

Purpose The purpose of this paper is to provide an account of who forms what market assets by making what market investments in a business network. Design/methodology/approach To investigate what market investments were made by certain actors into resource interfaces as market assets, the author draws on a case network based on an investigation of the Chilean salmon production network. To this end, the author chose the fish – being the focal object resource in that network – as a point of departure. The author systematically investigates the resource interfaces that this resource has with three other specific resources: feed, fishmeal, and vaccines in a thick case study. Findings This study shows that market investments entail committing resources to resource interfaces which turns them into market assets. Resource interfaces as market assets have implications on how we characterize and value resource interfaces. Multilateral resource interfaces become valuable to firms as a result of continuous market investments made into them. This produces different types of resource interfaces, some of which are of mediatory character bridging between distant resources in a network. Research limitations/implications This study focuses on the market investments being made to create and sustain market assets. Of course such assets are linked to a firm’s internal assets which this study do not investigate. In addition, this study emphasizes the commitment of resources into existing resource interfaces, the ensuing creation of market assets, and its use and value for firms and downplays a firm’s need to account for market investments and the market investments required to create a new resource interface. Practical implications As resource interfaces are valuable market assets, it is important to understand the functioning of different types of resource interfaces so as to exploit their potential as efficient as possible. This paper shows that some resources act as bridging resources connecting the borders of two indirectly related resources. Controlling bridging resources becomes an essential task for managers in business networks. Social implications Understanding the market investments into resource interfaces enables firms to become more skilled in organizing and controlling networks. These networks can play important roles in the economic development of society and create improved societal conditions for people, organizations, and economies. Originality/value By combining a market investment and market asset conceptualization of investments in networks with a resource interaction approach, this paper provides an enhanced understanding of resource interfaces as market assets. Theoretical implications for our understanding of resource interfaces – its value and character – are discussed.

The frictions of technology

2017 ◽  
Vol 33 (11) ◽  
pp. 23-25
Keyword(s):  
New Technologies ◽  
Global Market ◽  
Best Interests ◽  
Business Networks ◽  
Business Network ◽  
Content Type ◽  
Competitive Edge ◽  
Pertinent Information ◽  
The Stability ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings In some instances, business networks can be seen to stifle and hinder expansion and the adoption of new technologies. The interlinking of numerous actors and authors within a network means that competing agendas often cancel each other out. Organizations in a business network are unable to act according to their own best interests, instead having to react to the changes of all the other organizations in the network. This constant act of compromise can severely limit the potential of an organization and a business network. But the stability of a business network can be used to an advantage if the associated organizations embrace disalignment actions and the friction technological commercialization causes. By allowing actors to (re)negotiate their roles within a network, the organizations can successfully adopt new technologies and maintain a competitive edge. Mattila (2017) uses the development and implementation of intelligent paper in Finland, as an example of how a business network can use the friction caused by disalignment to succeed in a highly competitive global market. Practical implications The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

scholarly journals Managing business networks for value creation in facilities and their external environments

Facilities ◽  
2017 ◽  
Vol 35 (1/2) ◽  
pp. 99-115 ◽  
Author(s):  
Karlos Artto ◽  
Tuomas Ahola ◽  
Riikka Kyrö ◽  
Antti Peltokorpi
Keyword(s):  
Network Formation ◽  
Business Environment ◽  
Business Networks ◽  
Business Network ◽  
Content Type ◽  
External Actors ◽  
Tenant Mix ◽  
Practical Implications

Purpose The purpose of this paper is to increase understanding of the logic of business network formation among the co-located and external actors of a facility. Design/methodology/approach The research adopts a theory-building approach through developing propositions inductively from the empirical case study on four purposefully sampled modern service station facilities. The focus is on analyzing how a facility and its inherent co-located actors represent an entity that forms a business network with external actors in the facility’s environment. Findings The findings propose that when co-located with a large number of actors, the facility and its actors represent an entity that is connected to a wide business network of multiple external actors. On the other hand, when co-located with a small number of actors, the facility becomes a part of the overall supply in the surrounding business environment with a differentiated offering for competitive advantage. Practical implications The research suggests that an appropriate co-locating strategy, for example, when planning the tenant mix of the facility, can contribute to creating a vivid business network in the external environment, which raises the facility to a role of a central entity in such a network. Originality/value The findings explaining how co-location affects the businesses within the facility and within a wider networked environment are novel to the scholarly knowledge on co-location. The research bridges the theories of co-location and business networks that have been treated as separate discourses in previous research.

scholarly journals Que Sera, sera? Conceptualizing business network foresighting

IMP Journal ◽  
2018 ◽  
Vol 12 (1) ◽  
pp. 56-74 ◽  
Author(s):  
Poul Andersen ◽  
Elsebeth Holmen ◽  
Ann-Charlott Pedersen
Keyword(s):  
Design Methodology ◽  
Business Networks ◽  
Structural Effects ◽  
Business Network ◽  
Future Expectations ◽  
Content Type ◽  
The Core ◽  
Distinct Concept ◽  
The Future ◽  
Practical Implications

Purpose Networks and relationships are not stable. On the contrary, they change and are transformed by the actors who take part in them. Change and transformation result from the actions and reactions of these actors. However, a key issue is what makes the actors choose some actions and reactions while refraining from others. The paper aims to discuss these issues. Design/methodology/approach The authors argue that the actors’ expectations to the future of the network are formative for the actions and reactions and, furthermore, that the future expectations are formed by interaction among the actors that take part in the networks. Findings The authors depart from the existing foresight literature, but realign its ideas to fit with the core tenets of the IMP approach. Thereby, the purpose is twofold: to explore and conceptualize network foresight phenomena as well as to contribute to the practice of collective foresighting in business networks. Research limitations/implications The authors suggest research into formations of expectations in networks with a specific view to the interactive and structural effects of networks. Furthermore, the authors suggest a framework for categorizing network episodes and linking these to the formation of recognized issues and solutions. Practical implications The authors provide a framework for analyzing the focus of business networks in terms of solutions and issues, and analytically breaking down the interaction among these. Originality/value The authors introduce the concept of business network foresight, both as a distinct concept that enables us to understand change and transformation in networks, but also as a procedure for supporting actors’ strategizing efforts in business networks.

The life expectancy of tech start-ups in India: what attributes impact tech start-ups' failures?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ganesaraman Kalyanasundaram ◽  
Sitaram Ramachandrula ◽  
Bala Subrahmanya Mungila Hillemane
Keyword(s):  
Life Cycle ◽  
Life Expectancy ◽  
Emerging Economy ◽  
Primary Data ◽  
Content Type ◽  
Considerable Uncertainty ◽  
Life Cycle Stages ◽  
Start Up ◽  
Start Ups ◽  
Practical Implications

PurposeEntrepreneurs nurture their ambitions of founding tech start-ups that facilitate significant innovations despite vulnerability and considerable uncertainty by resolutely addressing multiple challenges to avert failures. The paper aims to answer how soon do tech start-ups fail, given their lifecycle comprising multiple stages of formation and what attributes hasten failure of tech start-ups over their lifecycle? These questions have not been answered adequately, particularly in the context of India's emerging economy, where an aspiring start-up ecosystem is striving to flourish at an exceptional rate.Design/methodology/approachThe study addressed two specific objectives: (1) Does life expectancy vary between life-cycle stages? and (2) What attributes impact tech start-ups' failures? Primary data were gathered from 151 cofounders (101 who have experienced failure and 50 who are successful and continuing their operations) from India's 6 leading start-up hubs. The survival analysis techniques were used, including non-parametric Kaplan–Meier estimator, to study the first objective and semi-parametric Cox proportional hazard regression to explore the second objective.FindingsThe survival probability log-rank statistics ascertain that life expectancy is different across the life-cycle stages, namely emergence, stability and growth. The hazard ratios (HRs) throw light on attributes like stage, revenue, conflict with investors, number of current start-ups, cofounder experience, level of confidence (LoC) and educational qualifications as the key attributes that influence start-up life expectancy over its lifecycle.Practical implicationsThe empirical study on tech start-ups' life expectancy has practical implications for entrepreneurs and investors besides guiding the ecosystem's policymakers. First, the study helps entrepreneurs plan for resources and be aware of their start-up journey's potential pitfalls. Second, the study helps investors to establish the engagement framework and plan their future funding strategy. Third, the study helps policymakers to design and establish progressive support mechanisms that can prevent a start-up's failure.Originality/valueFirst and foremost, start-up life expectancy study by life-cycle stages provide detailed insights on start-ups' failures. The theoretical framework defined is replicable, scalable and distinctly measurable for studying the start-up failure phenomenon. The life expectancy of tech start-ups by life-cycle stage is a critical empirical contribution. Next, the attributes impacting start-up life expectancy are identified in the context of an emerging economy.

A cognitive process model of trust repair

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Edward C. Tomlinson ◽  
Christopher A. Nelson ◽  
Luke A. Langlinais
Keyword(s):  
Structural Change ◽  
Organizational Justice ◽  
Attribution Theory ◽  
Cognitive Process ◽  
Process Model ◽  
Causal Attribution ◽  
Content Type ◽  
Trust Repair ◽  
Nuanced Understanding ◽  
Practical Implications

Purpose This paper aims to investigate how the reparative efforts of extensive apologies, compensation and structural change affect trust after a violation has occurred. Specifically, this paper presents a cognitive process model positing that voluntary reparative efforts will shape the victim’s stability attributions for the cause of the violation such that it will be deemed less stable (i.e. unlikely to recur); as a result, the victim is more likely to perceive the transgressor as being fair, and hence extend subsequent trust. Design/methodology/approach Two experiments were conducted to test the cognitive process model. Findings The results of both experiments supported this predicted sequence for extensive apologies. Support for the predicted sequence was also found when compensation and structural change are invoked as reparative efforts. Originality/value This research has theoretical and practical implications for a more nuanced understanding of how causal attribution theory and organizational justice theory can be integrated within the context of trust repair.

Network change processes for environmental practices

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lyndie Bayne ◽  
Sharon Purchase ◽  
Geoffrey N. Soutar
Keyword(s):  
Life Cycle ◽  
Change Process ◽  
Business Case ◽  
Process Theory ◽  
Change Processes ◽  
Business Networks ◽  
Environmental Practices ◽  
Content Type ◽  
Network Change ◽  
Network Process

Purpose The purpose of this study is to develop an understanding of how change in environmental practices occurs in business networks. The study examines what types of network change processes occur in bringing about environmental change. Further, the basic change process theory types (life-cycle, teleology, dialectics and evolution) involved in the change processes are analyzed. Design/methodology/approach A multiple, embedded, network case study was undertaken in the Australian agrifood sector, focusing on the pork and dairy industries. Findings Change was found to occur through the interaction of multiple network processes operating simultaneously and sequentially over time. Thirteen network process categories were identified, grouped further into legislative, business case and altruistic overarching motivations. Legislative change processes emphasize the need for continued government intervention through enforced legislation. Teleology and dialectics were common at the beginning of many change processes, followed by life-cycle theory types. Originality/value The study brings together change process conceptualizations from prior unconnected literatures into a comprehensive change process categorization framework. Examining changes in the activity dimension adds to network dynamics literature previously focusing on changes in the actor and resource dimensions. Contributions are made to processual research methods by theoretically and empirically clarifying connections between events, activities and processes. Analyzing the underlying change process theory types at the network level adds to both management and business network literature. Finally, the study answers calls to study sustainability issues at a network level.

The prosocial leadership development process as a means to prepare the next generation of organizational leaders

2018 ◽  
Vol 26 (3) ◽  
pp. 225-237
Author(s):  
Timothy Ewest
Keyword(s):  
Social Justice ◽  
Leadership Development ◽  
Design Methodology ◽  
Development Process ◽  
Leadership Behaviors ◽  
Pedagogical Practices ◽  
Organizational Leaders ◽  
Content Type ◽  
Social Challenges ◽  
Practical Implications

Purpose This paper aims to outline the prosocial leadership development process for guiding pedagogical and social justice course goals as a means to foster prosocial leadership values within the millennial generation. Design/methodology/approach The paper is guided by a social justice framework and proven classroom pedagogies as a means to align millennial characteristics within the four stages of the prosocial leadership development process. Findings An educational rubric is provided as a means to guide classroom pedagogies, course goals and millennial characteristics through a prosocial leadership development process. Research limitations/implications The paper is conceptual in nature, and therefore, theoretical correspondence remains speculative. Practical implications The research in this paper provided guidelines for educators to use pedagogical practices as a means to develop prosocial values as a basis for organizational leadership behaviors. Social implications This leadership development process when facilitated through proven pedagogical techniques (guided by established social justice curriculum goals) and is within the context of millennial characteristics (those born between the years 1982 and 2005) becomes catalytic in empowering leaders to be a remedy for the world’s environmental and social challenges. Originality/value This paper connects characteristics of millennials to a prosocial leadership development model.

scholarly journals Organisational learning and the organisational life cycle

2016 ◽  
Vol 40 (1) ◽  
pp. 2-20 ◽  
Author(s):  
Steven Tam ◽  
David E Gray
Keyword(s):  
Life Cycle ◽  
Human Resource Development ◽  
Learning Strategies ◽  
High Growth ◽  
Organisational Learning ◽  
Structured Interviews ◽  
Content Type ◽  
Life Cycle Stages ◽  
Timely Fashion ◽  
Sound Foundation

Purpose – The purpose of this study is to relate the practice of organisational learning in small- and medium-sized enterprises (SMEs) to the organisational life cycle (OLC), contextualising the differential aspects of an integrated relationship between them. Design/methodology/approach – It is a mixed-method study with two consecutive phases. In Phase I, 30 Hong Kong SMEs identified through theoretical sampling were classified into three life-cycle stages – inception, high growth and maturity. In Phase II, their employees’ learning practices (grouped by learning levels) were statistically compared using the analysis of variance and then followed up for confirmation with qualitative semi-structured interviews. Findings – This study uniquely suggests the nature of a relationship between SME organisational learning and the OLC. Empirical results show that three of the four learning levels (individual, group, organisational and inter-organisational) practised in SMEs are varied in importance between life-cycle stages. Research limitations/implications – Comparative studies are encouraged in other parts of the world to strengthen the findings – with either SMEs or large organisations. Practical implications – The study informs SME owner/managers about what is important for employee learning at different business stages so that appropriate learning strategies or human resource development policies can be formulated in a timely fashion to promote competitiveness. Originality/value – It is among the first studies to connect SME learning with organisational growth. The relationships found serve as a sound foundation for further empirical investigations.

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