Analysis of Business Network Dynamics
6th Annual Organization Science Winter Conference, Keystone, Colorado, US, February 9-13, 2000
18 Pages Posted: 23 Aug 2009
Date Written: February 21, 2000
Abstract
This paper builds upon the advancements in structural analysis (Wellman and Berkowitz, eds. 1988), network analysis (Nohria & Eccles, eds. 1992, Knoke and Guilarte, 1994), and a range of Economic, management, and strategy theories, that have discussed the behaviour of interlinked economic agents. We discuss the nature of the business actors and the factors that determine their behaviour in interconnected chains. The preferences, goal setting, and decision making of economic actors are critical in terms of how they position in relational context, and how they control and manipulation of the external and the internal environments. We look at different strategic behaviour such as: accumulation of heterogeneous resources, minimising costs and maximising payoffs and benefits, bargaining and negotiating contracts, co-operating and forming coalitions, acquiring and maintaining power, mimicry and normative compliance. Entrepreneurship and initiation of new transactions and contacts are examples of network behaviour that lead to the self-co-ordination of the network vs. the strategic coordination by a co-ordination agency.
Keywords: business networks, strategic behaviour dynamics
JEL Classification: O0
Suggested Citation: Suggested Citation