Understanding changes within business networks: evidences from the international expansion of fashion firms

2019 ◽  
Vol 34 (1) ◽  
pp. 192-204 ◽  
Author(s):  
Simone Guercini ◽  
Matilde Milanesi

Purpose The purpose of this paper is to address the topic of business network dynamics and identify different relational paths, as forms of change in business relationships and related types of network change. The paper contributes to the literature on business network dynamics by providing an understanding of relational paths in the context of firms’ internationalization and shading light on different forms of change in business relationships and types of network change. The paper also contributes to the understanding of liabilities in internationalization that has to do with business networks, namely the liability of outsidership. Design/methodology/approach This paper is based on qualitative research following the multiple case study research approach. The authors propose three cases of internationalizing firms in the fashion industry that follows relational paths corresponding to different forms of change in business relationships that imply different types of network change. Findings Changes to a firm’s business network may be addressed through relational paths, namely creation of new business relationships (activation), maintenance of existing relationships (integration) and ending of existing relationships (substitution). These relational paths can be considered forms of incremental (integration) and radical (activation and substitution) change in business relationships and lead to different types of network change for business network dynamics that coexist and influence each other within the same firm. Originality/value This paper contributes to a better understanding of business network dynamics by showing how firms change their business relationships following different relational paths as the best way to respond to the challenges and new opportunities offered especially by international markets. The present paper has relevant managerial implications since coping with change in business relationships is perhaps one of the most critical and difficult tasks for management, even more critical if compared to the increasing complexity of doing business internationally and the liabilities that firms face in their internationalization process, especially the liability of outsidership.

IMP Journal ◽  
2016 ◽  
Vol 10 (3) ◽  
pp. 409-442 ◽  
Author(s):  
Frans Prenkert

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.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lyndie Bayne ◽  
Sharon Purchase ◽  
Geoffrey N. Soutar

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.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tibor Mandják ◽  
Zsuzsanna Szalkai ◽  
Erika Hlédik ◽  
Edit Neumann-Bódi ◽  
Mária Magyar ◽  
...  

Purpose The main goal of the paper is to describe the knowledge interconnection process embedded in an interactive business relationship. The purpose of this study is to understand the knowledge interconnection inside the supplier-buyer relationship in the field of contract manufacturing. The knowledge interconnection process is defined by the authors as a process linked to business relationships, which contains different types of knowledge and various sub-processes related to them. Design/methodology/approach The Industrial Marketing and Purchasing Group (IMP) research framework has been applied and the contribution is a better understanding of the role of knowledge in the interactive business world. The empirical evidence is based on a case study of a Hungarian contract manufacturing company. This paper describes empirical, qualitative research about knowledge interconnection processes applying an abductive research design. Findings The knowledge interconnection process is linked to business relationships. It is a complex process, which contains three types of knowledge and five sub-processes. The knowledge evolution indicates the links between the different types of knowledge. The sub-processes relate to different types of knowledge and allow the flow of knowledge between the supplier and the buyer. In the business relationship, this flow of knowledge makes possible the new knowledge creation. A model of the knowledge interconnection process has been developed. Research limitations/implications Single case studies can create rich descriptions of complex phenomena, but the possibility for generalization is limited. Another limitation is that the knowledge interconnection process has been studied only from the supplier’s perspective. The present research extends IMP’s knowledge of embedded knowledge. In addition, empirical research contributes to the emerging field of IMP research that explores knowledge as a resource but lacks an empirical foundation. Practical implications The knowledge interconnection process is a decisive factor in the development and maintenance of long-term customer relations in the field of contract manufacturing. The evolution of knowledge types – from the body of knowledge to knowledge in use – demands the management of different sub-processes. Knowledge selection, knowledge recombination, knowledge mobilization and new knowledge creation processes are more strongly related to the supplier-customer dyad, while the knowledge relocation process has a network character. The knowledge interconnection process influences the company’s body of knowledge and its relationship management capability. Originality/value The originality of the study is, on the one hand, an empirical examination of the process of knowledge interconnection. On the other hand, the development of a model of the knowledge interconnection process. A further feature is that empirical research has been conducted in the field of contract manufacturing.


2018 ◽  
Vol 33 (4) ◽  
pp. 495-505 ◽  
Author(s):  
Emilene Leite ◽  
Cecilia Pahlberg ◽  
Susanne Åberg

Purpose Building on a business network perspective, the paper addresses the following question: Why do firms move between cooperation and competition in the context of high-tech industry? Hence, the purpose of this study is to contribute to the understanding of the complex cooperation–competition interplay between actors in a business network. Design/methodology/approach A single case study within the information and communication technology industry is undertaken and illustrates the cooperation–competition interplay in projects of technology. Findings The authors discuss the implications of interdependence on relationship dynamics. The main argument is that business relationships survive despite periods of competition if interdependence is high. Thus, firms move between a state of cooperation and a state of competition within business relationships, rather than ending the relationships when starting to compete. Practical implications This study suggests that managers need to pay attention to how different degrees of interdependence lead firms to be embedded in cooperative or competitive forms of relationships. Originality/value The paper contributes to the ongoing debate about cooperation, competition and coopetition within international business and industrial marketing literature. An interesting aspect in the paper is the cooperation–competition interplay, which is associated with positioning. A centrally positioned actor will choose who to bring into the partnership, with positioning concomitantly changing from project to project. The willingness of being a central actor, i.e. a project leader, places traditional buyer–supplier partners in competition. Thus, cooperation and/or competition becomes contextual.


2020 ◽  
Vol 32 (4) ◽  
pp. 561-585
Author(s):  
Alessia Zoppelletto ◽  
Ludovico Bullini Orlandi ◽  
Cecilia Rossignoli

PurposeThis article aims to understand whether and how a digital transformation strategy (DTS) can strengthen the relationship between network organizations and the generation/regeneration of their business network commons (BNC). Further, it investigates the role of the DTS in managing the BNC, a critical source of business network success.Design/methodology/approachA two-year longitudinal case study of an Italian business network operating in the wine sector was conducted.FindingsThis study provides theoretical insights into the digital, sustainable shift of a business network. On combining a network's business strategy and its DTS, digital resources are a key driver to promote BNC regeneration. A DTS undertaken to manage, regenerate and preserve the BNC can positively affect organizational variables, such as participatory architecture, and the network-level organizational integration and can help in preventing opportunistic behaviors affecting the BNC. Moreover, the DTS supports quality and social responsibility.Research limitations/implicationsThis study focuses on an Italian case and its findings are hence not generalizable. It would be interesting to study sustainable business networks' digital shift in different socioeconomic contexts as well as in different industry settings.Practical implicationsNetwork SMEs and other stakeholders (institutions, competitors and consumers) can foster the transition from a “business-as-usual” strategy to a long-term strategy for digitalized management of common resources.Originality/valueThe study is at the intersection of, and contributes to, several research streams. It contributes to the digital transformation literature by adding information on the positive externalities of digitalization in the social and economic environment. It also contributes to the early streams of organizational and managerial literature on the BNC.


2020 ◽  
Vol 32 (3) ◽  
pp. 405-424 ◽  
Author(s):  
Luca Camanzi ◽  
Carlo Giua

Purpose The purpose of this paper is to identify the main factors influencing agri-food small and medium enterprises (SMEs) participation in business networks and to evaluate the impacts of these factors on network structure and the ensuing competitive strategy. Design/methodology/approach The study is articulated in four main steps. First, a critical literature review is conducted concerning the main approaches to firm competitive advantage and the role of stakeholder relationships. Then, three research questions are formulated and discussed in the light of two case studies describing the implementation of an innovative contractual solution in Italy (i.e. business network contracts). Finally, based on these findings, a set of more general “propositions” are stated and included in a provisional conceptual model that schematically depicts an integrated vision of the antecedents and mechanisms influencing SMEs business network structure and competitive strategy. Findings The study results pointed out the opportunity to adopt an integrated approach, combining resource-based view and stakeholder causal scope approaches. The provisional conceptual model proposed illustrates the role of both external and internal resources and relational constructs to shaping network structure and competitive strategy. Originality/value The study’s contribution is twofold. First, the empirical study shed light on opportunities and limits of two business networks with different backgrounds, approaches and outcomes towards value creation. Second, the conceptual framework proposed advances our understanding and knowledge of the factors and mechanisms influencing SMEs business network structure and competitive strategy.


2019 ◽  
Vol 11 (11) ◽  
pp. 3006 ◽  
Author(s):  
Jaffar Abbas ◽  
Saqlain Raza ◽  
Mohammad Nurunnabi ◽  
Mohd Sobri Minai ◽  
Shaher Bano

This precise study is the first to perform a focalized investigation on the relationship between entrepreneurial business networks and sustainable performance of small firms. The entrepreneurial business network is a multifaceted business network of business firms, working together to achieve business objectives. Business relationships and firm aggregations are the main categories of entrepreneurial business networks, which help small and medium-sized enterprises to become more dynamic, innovative and competitive. The entrepreneurial business network is a networking, which provides a platform to build business relationships, identify, develop or act upon economic opportunities, share information and seek potential business partners for ventures. However, few studies have sought to understand the association of entrepreneurial business network (EBN) and firms’ sustainable performance in the context of Pakistan. This investigation aims to examine the relationship between EBN and small firms’ sustainable performance by applying the Smart PLS-SEM software V-3.2.8. This study explores how dynamic capabilities mediate the relationship between entrepreneurial business network and sustainable performance of small firms. The data received reports on small firms, manufacturing surgical instruments. The findings indicated that the entrepreneurial business network had a significant positive relationship with dynamic capabilities, which in turn presented a positive relation to a sustainable performance of small firms. By developing sustainable EBN, small firms can achieve sustainable performance by implementing dynamic capabilities in a competitive environment. The results affirmed that highly entrepreneurial firms showed a tendency to create a business network for achieving sustainable performance. The results also revealed that firms using business networks and dynamic capabilities efficiently; achieved their sustainable performance. The findings indicated that the study proposed a holistic and systematic model to achieve sustainable performance through firms’ dynamic capabilities. The generalizability of these findings provides useful insight and direction for future studies in Pakistan.


2020 ◽  
Vol 27 (5) ◽  
pp. 839-861 ◽  
Author(s):  
Birgit Leick ◽  
Susanne Gretzinger

PurposeResearch on business networks in organisationally thin regions, which are characterised by a low density and quality of business networks, is still in its infancy, while the facilitation of business networks receives increasing interest. The present paper combines both perspectives by investigating how different types of network brokers facilitate business networking and knowledge-sharing in organisationally thin regions.Design/methodology/approachBurt's theory on brokers in social networks is applied to knowledge-sharing in business networks for organisational thinness as context. A qualitative case study represents the empirical basis that describes network brokers from various domains in three different German case regions, which are characterised by organisational thinness.FindingsThe network brokers studied facilitate different types of business networks, and they use various levers to increase knowledge-sharing among companies in business networks. Two broker types emerge, private business-driven versus public policy-driven network brokers with distinct approaches to the facilitation of business networking and knowledge-sharing and different limitations due to organisational thinness.Practical implicationsCompanies, notably SMEs, in contexts characterised by low networking density and quality may benefit from various types of network brokers that foster business networking and instigate knowledge exchange. Public policy should embed activities of private brokers in existing SME assistance programmes to increase the quantity and quality of business networks.Originality/valueNetwork facilitation in regions with weaknesses in their endowment with industry clusters, business networks and innovative knowledge exchange is under-explored, and this paper contributes to shedding light on this topic with a case study.


2019 ◽  
Vol 37 (3) ◽  
pp. 577-591 ◽  
Author(s):  
Fasola P. Abifarin ◽  
Shaka Apodoghe Imavah ◽  
Ayodele S. Olobashola

Purpose Academic library websites need evaluation to determine whether users can derive useful experiences while visiting them to perform tasks. This is more so because visiting an academic library website is by voluntary action rather than compulsion as is the case with university, polytechnic and college sites where students must conduct academic transactions that cannot be reasonably avoided. The result of such an evaluation provides signposts for improvement so that academic library websites can continue to be useful to their users. Therefore, the purpose of this paper is to assess the structural effectiveness of academic library websites in Nigeria. Design/methodology/approach The case study, research strategy and survey research approach were adopted for the study. Through a Web search, 14 universities, one polytechnic and one college of education were identified while three academic library websites were selected for the study. The evaluation of the websites was un-moderated and conducted remotely by user participants who were recruited across the three tertiary institutions under study. A five-point scale questionnaire served as the research instrument while data were presented in tables and analyzed using the median score. The Kruskall–Wallis test by ranks was used to test the null hypothesis at a five per cent level of significance. Findings Out of the 20 items presented for assessment, Group 1 and 2 disagreed to 11 (55 per cent) while agreeing on the remaining 9 (45 per cent) on Lib 1 and Lib 2 websites. Group 3 agreed to 11 (55 per cent) while disagreeing on 9 (45 per cent) on the Lib 3 website. The null hypothesis proposed for the study was rejected as the p-value of 0.04 was significant at p < 0.05. This indicated that most of the critical issues pertaining to design effectiveness were perceived to be ineffective. Originality/value The findings from this study call for a review of the design of academic library websites in Nigeria so that users can identify which websites are easier to use.


2019 ◽  
Vol 55 (1) ◽  
pp. 100-111 ◽  
Author(s):  
Adriana Roseli Wünsch Takahashi ◽  
Luis Araujo

Purpose The case study approach has been widely used in management studies and the social sciences more generally. However, there are still doubts about when and how case studies should be used. This paper aims to discuss this approach, its various uses and applications, in light of epistemological principles, as well as the criteria for rigor and validity. Design/methodology/approach This paper discusses the various concepts of case and case studies in the methods literature and addresses the different uses of cases in relation to epistemological principles and criteria for rigor and validity. Findings The use of this research approach can be based on several epistemologies, provided the researcher attends to the internal coherence between method and epistemology, or what the authors call “alignment.” Originality/value This study offers a number of implications for the practice of management research, as it shows how the case study approach does not commit the researcher to particular data collection or interpretation methods. Furthermore, the use of cases can be justified according to multiple epistemological orientations.


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