We analyze the vertical, horizontal and transversal networks that a firm can form in the presence of innovation and technological lags. Our empirical case of study uses three industries of the Colombian manufacturing sector. Within this framework we find a rich variety of interorganizational connections. In vertical relationships, a hierarchical relationship only unidirectional material flows happen. Enterprises of the informal and low-segment level of the market cannot establish content-wise vertical relationships, because they have low legitimacy. We find that in highly competitive scenarios with low product differentiation, firms do not engage in any kind of interchange with similar, competing enterprises. We derived that an important determinant of horizontal cooperation is the knowledge of other agents, fueled by standardized practices. As for the relationships of firms with the institutional support system, we find that the access is limited to enterprises operating in the higher segment of the market. The implication is that a subgroup of enterprises does not have access to the support system and indeed have a pessimistic view towards it. The conclusion is that the heterogeneity in the universe of firms is reflected also in their possibilities to engage in networks.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
file. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number
4843.
Find related papers by JEL classification: Z13 - Other Special Topics - - Cultural Economics - - - Social Norms and Social Capital; Social Networks Economic Anthropology
This paper has been announced in the following NEP Reports:
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.: