IDEAS home Printed from https://ideas.repec.org/a/taf/entreg/v12y2000i2p111-135.html
   My bibliography  Save this article

The success and failure of policy-implanted inter-firm network initiatives: motivations, processes and structure

Author

Listed:
  • Robert Huggins

Abstract

This paper examines the processes and causes of inter-firm network success and failure, defined in terms of the ability of networks to become a sustained and valued form of business activity for their members. The paper examines four different case study network initiatives: (1) a failed informal ‘new entrepreneurs' network’ (2) a successful informal ‘local cluster group’ (3) a failed formal ‘defence contractors' network’ and (4) a successful formal ‘small-firm technology group’. It is shown that networks in business are often consciously developed and maintained by those managing directors who have recognized the importance of cooperative activities for achieving competitive advantage for their companies. The best network support consisted of brokers who are able to mix and overlap the ‘hard’ business and ‘softer’ social interests of participants. The case studies indicate that it is formal groups that are the most potent form of inter-firm network, but that it is through an initially informal structure that they are best facilitated. It is concluded that both economic and social rationalities are at play in the motivation of firms to join networks, and that their success is closely connected to pre-existing commonality between members.

Suggested Citation

  • Robert Huggins, 2000. "The success and failure of policy-implanted inter-firm network initiatives: motivations, processes and structure," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 12(2), pages 111-135, April.
  • Handle: RePEc:taf:entreg:v:12:y:2000:i:2:p:111-135
    DOI: 10.1080/089856200283036
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/089856200283036
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Giovanni Dosi & Christopher Freeman & Richard Nelson & Gerarld Silverberg & Luc Soete (ed.), 1988. "Technical Change and Economic Theory," LEM Book Series, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy, number dosietal-1988.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shogo Mlozi & Ossi Pesämaa, 2017. "Developing reciprocal exchanges for tourism investors," Tourism Economics, , vol. 23(6), pages 1184-1205, September.
    2. Birgit Leick & Susanne Gretzinger, 2018. "Brokerage and governance for business networks: a metasynthesis-based discussion," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 22(4), pages 773-804, December.
    3. Marianne Hubeau & Fleur Marchand & Guido Van Huylenbroeck, 2017. "Sustainability Experiments in the Agri-Food System: Uncovering the Factors of New Governance and Collaboration Success," Sustainability, MDPI, Open Access Journal, vol. 9(6), pages 1-23, June.
    4. Junbo Yu & Mark Middleton & Randall Jackson, 2010. "Geography of Business Incubator Formation in the United States," Working Papers Working Paper 2010-10, Regional Research Institute, West Virginia University.
    5. Edy Dwi Kurniati & Indah Susilowati & Suharno, 2019. "Sustainable Competitive Advantage of SMEs through Resource and Institutional-Based Management: An Empirical Study of Batik SMEs in Central Java, Indonesia," Tržište/Market, Faculty of Economics and Business, University of Zagreb, vol. 31(1), pages 61-82.
    6. Donna Marie De Carolis & Barrie E. Litzky & Kimberly A. Eddleston, 2009. "Why Networks Enhance the Progress of New Venture Creation: The Influence of Social Capital and Cognition," Entrepreneurship Theory and Practice, , vol. 33(2), pages 527-545, March.
    7. Véronique Favre-Bonté & Elodie Gardet & Catherine Thevenard-Puthod, 2019. "How Types of Destination Influence Tourism Innovation Networks?," Post-Print hal-02145911, HAL.
    8. Maryline FILIPPI & Olivier FREY, 2015. "Le conseiller, une pièce maîtresse sur l’échiquier de la coopérative agricole," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 96(3), pages 439-466.
    9. Maurizio Cisi & Francesco Devicienti & Alessandro Manello & Davide Vannoni, 2016. "The Impact of Formal Networking on the Performance of SMEs," Working papers 039, Department of Economics and Statistics (Dipartimento di Scienze Economico-Sociali e Matematico-Statistiche), University of Torino.
    10. Maurizio Cisi & Francesco Devicienti & Alessandro Manello & Davide Vannoni, 2016. "The Impact of Formal Networking on the Performance of SMEs," Working papers 039, Department of Economics and Statistics (Dipartimento di Scienze Economico-Sociali e Matematico-Statistiche), University of Torino.
    11. Gurrieri, Antonia Rosa & Petruzzellis, Luca, 2006. "Local Networks to Compete in the Global Era. The Italian SMEs Experience," Knowledge, Technology, Human Capital Working Papers 12096, Fondazione Eni Enrico Mattei (FEEM).
    12. repec:rri:wpaper:201010 is not listed on IDEAS
    13. M Filippi & O Frey-Revue D, 2015. "The advisor, a cornerstone in agricultural cooperatives' strategy [Le conseiller, une pièce maîtresse sur l'échiquier de la coopérative agricole]," Post-Print hal-01885114, HAL.
    14. Dr. Washington O. Okeyo, 2014. "The Influence of Business Environmental Dynamism, Complexity and Munificence on Performance of Small and Medium Enterprises in Kenya," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 4(8), pages 59-73, August.
    15. Dr. Washington O. Okeyo, 2014. "The Influence of Business Environmental Dynamism, Complexity and Munificence on Performance of Small and Medium Enterprises in Kenya," International Journal of Business and Social Research, LAR Center Press, vol. 4(8), pages 59-73, August.
    16. Hee Dae Kim & Duk Hee Lee & Hochull Choe & Il Won Seo, 2014. "The evolution of cluster network structure and firm growth: a study of industrial software clusters," Scientometrics, Springer;Akadémiai Kiadó, vol. 99(1), pages 77-95, April.
    17. Anastasia Petrou & Irene Daskalopoulou, 2015. "Social Capital and Small Business Competitiveness: Evidence from Cross-Section Tourism Data," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 6(4), pages 946-967, December.
    18. Garcia-Perez-de-Lema, Domingo & Madrid-Guijarro, Antonia & Martin, Dominique Philippe, 2017. "Influence of university–firm governance on SMEs innovation and performance levels," Technological Forecasting and Social Change, Elsevier, vol. 123(C), pages 250-261.
    19. J. Kirk Ring & Ana Maria Peredo & James J. Chrisman, 2010. "Business Networks and Economic Development in Rural Communities in the United States," Entrepreneurship Theory and Practice, , vol. 34(1), pages 171-195, January.
    20. Lambrecht, Evelien & Kühne, Bianka & Gellynck, Xavier, 2015. "Success factors of innovation networks: Lessons from agriculture in Flanders," 2015 International European Forum (144th EAAE Seminar), February 9-13, 2015, Innsbruck-Igls, Austria 206250, International European Forum on System Dynamics and Innovation in Food Networks.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Heijs, Joost, 2003. "Freerider behaviour and the public finance of R&D activities in enterprises: the case of the Spanish low interest credits for R&D," Research Policy, Elsevier, vol. 32(3), pages 445-461, March.
    2. María Inés Moraes, 2003. "El capitalismo pastor: Dinámica tecnológica e institucional de la ganadería uruguaya entre 1870-1930," Historia Agraria. Revista de Agricultura e Historia Rural, Sociedad Española de Historia Agraria, issue 29, pages 13-44.
    3. Dirk Boehe & Luciano Barin Cruz, 2010. "Corporate Social Responsibility, Product Differentiation Strategy and Export Performance," Journal of Business Ethics, Springer, vol. 91(2), pages 325-346, February.
    4. Michael J. Radzicki, 2003. "Mr. Hamilton, Mr. Forrester, and a Foundation for Evolutionary Economics," Journal of Economic Issues, Taylor & Francis Journals, vol. 37(1), pages 133-173, March.
    5. Matthias Firgo & Peter Mayerhofer, 2015. "Wissens-Spillovers und regionale Entwicklung - welche strukturpolitische Ausrichtung optimiert des Wachstum?," Working Paper Reihe der AK Wien - Materialien zu Wirtschaft und Gesellschaft 144, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik.
    6. José Monteiro-Barata, 2005. "Innovation in the Portuguese Manufacturing Industry: Analysis of a Longitudinal Company Panel," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 11(3), pages 301-314, August.
    7. Alessandro Muscio, 2007. "THE IMPACT OF ABSORPTIVE CAPACITY ON SMEs' COLLABORATION," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 16(8), pages 653-668.
    8. Havas, Attila & Weber, K. Matthias, 2017. "The 'fit' between forward-looking activities and the innovation policy governance sub-system: A framework to explore potential impacts," Technological Forecasting and Social Change, Elsevier, vol. 115(C), pages 327-337.
    9. Pontus Braunerhjelm, 2007. "Academic entrepreneurship: Social norms, university culture and policies," Science and Public Policy, Oxford University Press, vol. 34(9), pages 619-631, November.
    10. Andre Nassif & Carmem Aparecida Feijo & Eliane Araújo, 2016. "Structural change, catching up and falling behind in the BRICS: A comparative analysis based on trade pattern and Thirlwall’s Law," PSL Quarterly Review, Economia civile, vol. 69(279), pages 373-421.
    11. Ajay Thutupalli & Michiko Iizuka, 2016. "Catching-up in agricultural innovation: the case of Bacillus thuringiensis cotton in India," Industrial and Corporate Change, Oxford University Press, vol. 25(6), pages 923-940.
    12. Souzanchi Kashani, Ebrahim & Roshani, Saeed, 2019. "Evolution of innovation system literature: Intellectual bases and emerging trends," Technological Forecasting and Social Change, Elsevier, vol. 146(C), pages 68-80.
    13. André Lorentz & Maria Savona, 2008. "Evolutionary micro-dynamics and changes in the economic structure," Journal of Evolutionary Economics, Springer, vol. 18(3), pages 389-412, August.
    14. Jeffrey T. Macher & Barak D. Richman, 2004. "Organisational Responses To Discontinuous Innovation: A Case Study Approach," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 8(01), pages 87-114.
    15. Dirk Czarnitzki & Alfred Spielkamp, 2003. "Business services in Germany: bridges for innovation," The Service Industries Journal, Taylor & Francis Journals, vol. 23(2), pages 1-30, March.
    16. Ron Boschma & Ron Martin, 2010. "The Aims and Scope of Evolutionary Economic Geography," Chapters, in: Ron Boschma & Ron Martin (ed.), The Handbook of Evolutionary Economic Geography, chapter 1, Edward Elgar Publishing.
    17. Rossana Galli, 1997. "Is There Long Run Industrial Convergence in Europe?," International Review of Applied Economics, Taylor & Francis Journals, vol. 11(3), pages 333-368.
    18. Flemming Sørensen & Jan Mattsson, 2016. "Speeding Up Innovation: Building Network Structures For Parallel Innovation," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(02), pages 1-30, February.
    19. Jean-Michel Dalle, 1995. "Dynamiques d'adoption, coordination et diversité : la diffusion des standards technologiques," Revue Économique, Programme National Persée, vol. 46(4), pages 1081-1098.
    20. Lucy Baker, 2015. "Renewable energy in South Africa's minerals-energy complex: a 'low carbon' transition?," Review of African Political Economy, Taylor & Francis Journals, vol. 42(144), pages 245-261, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:entreg:v:12:y:2000:i:2:p:111-135. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Chris Longhurst). General contact details of provider: http://www.tandfonline.com/TEPN20 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.