Are networks important in order to secure a firm’s strategy? – A literature review

Authors

  • Miguel Córdova Pontificia Universidad Católica del Perú
    Ingeniero industrial de la Universidad de Lima, MBA por Centrum Católica y estudiante del programa de doctorado en Gestión Estratégica del Consorcio de Universidades del Perú. Cuenta con experiencia profesional en los sectores farmacéutico, consumo masivo, energía, construcción y tecnología de información. Ha sido profesor en la escuela de negocios de la Universidad de Lima y profesor visitante en el programa de maestría en negocios del INSEEC (París, Francia). Actualmente es profesor auxiliar a tiempo completo y coordinador para la cadena de cursos de operaciones en el Departamento Académico de Ciencias de la Gestión de la PUCP. Es investigador en las líneas de teoría organizacional, estrategia, redes, operaciones y emprendimiento; así como consultor de empresas familiares.

DOI:

https://doi.org/10.18800/360gestion.201702.006

Keywords:

networks, strategy, social capital, resources, social ties

Abstract

Since Granovetter´s (1973) research on weak and strong ties in relationship networks, a great amount of literature has been written about the network´s potential for firms in order to obtain more and different resources, reduce uncertainty from the environment, and finally secure its strategy. In this paper I present the strategy as a platform to build on with several key tools and resources, also as a real time development platform since it’s constantly influenced by networks. Networks are powerful indeed, and firms benefit from understanding its potential and capability to learn from it and mobilize it when it’s necessary. Networks not only influence the quantity and quality of resources that a firm can obtain, but, are also proficient in affecting the environment as well in order to facilitate the mobilization of these resources in the proper time.

Downloads

Download data is not yet available.

References

Adler, Paul S. & Seok-Woo Kwon (2002) «Social capital: Prospects for a new concept». Academy of Management Review, 27 (1), pp. 17-40.

Ansari, Shahzad & Nelson Phillips (2011) «Text me! New consumer practices and change in organizational fields». Organization Science, 22 (6), pp. 1579- 1599. Retrieved from: .

Barney, Jay (1991) «Firm resources and sustained competitive advantage». Journal of Management Review, 27 (1), pp. 17-40. Retrieved from: <https://doi.org/10.1177/01492063910170 0108>.

Battilana, Julie, Bernard Leca & Eva Boxenbaum (2009) «2 how actors change institutions: Towards a theory of institutional entrepreneurship». The Academy of Management Annals, 3 (1), pp. 65-107. Retrieved from: .

Burt, Ronald (1992) Structural Holes: The Social Structure of Competition. Harvard University Press.

Burt, Ronald (2004) «Structural holes and good ideas». American Journal of Sociology, 110 (2), pp. 349-399. Retrieved from: .

Coviello, Nicolle (2006) «The network dynamics of international new ventures». Journal of International Business Studies, 37 (5), pp. 713-731. Retrieved from: <https://doi.org/10.1057/ palgrave.jibs.8400219>.

Dyer, Jeffrey & Harbir Singh (1998) «The relational view: Cooperative strategy and sources of interorganizational competitive advantage». The Academy of Management Review, 23 (4), pp. 660-679. Retrieved from: .

Ellis, Paul D. (2011) «Social ties and international entrepreneurship: Opportunities and constraints affecting firm internationalization». Journal of International Business Studies, 42 (1), pp. 99-127. Retrieved from: .

Granovetter, Mark (1973) «The Strenght of Weak Ties». American Journal of Sociology, 78 (6), pp. 1360- 1380. Retrieved from: .

Hillmann, Henning & Brandy Aven (2011) «Fragmented networks and entrepreneurship in late imperial Russia». American Journal of Sociology, 117 (2), pp. 484-538. Retrieved from: .

Hitt, Michael, Duane Ireland, Michael Camp & Donald Sexton (2001) «Strategic entrepreneurship: entrepreneurial strategies for wealth creation». Strategic Management Journal, 22 (6-7), pp. 479-491. Retrieved from: <http://doi.org/10.1002/smj.196>.

Hung, Shih-Chang (2002) «Mobilising networks to achieve strategic difference». Long Range Planning, 35 (6), pp. 591-613. Retrieved from: .

Kwon, Seok-Woo & Paul Adler (2014) «Social capital: Maturation of a field of research». Academy of Management Review, 39 (4), pp. 412-422. Retrieved from: <http://doi.org/10.5465/ amr.2014.0210>.

Levy, David L. (2008) «Political contestation in global production networks». The Academy of Management Review, 33 (4), pp. 943-963. Retrieved from: <https://doi.org/10.5465/ amr.2008.34422006>.

Maas, Jeroen, Anastasia Seferiadis, Joske Bunders & Marjolein Zweekhorst (2014) «Bridging the disconnect: How network creation facilitates female Bangladeshi entrepreneurship». International Entrepreneurship and Management Journal, 10 (3), pp. 457-470. Retrieved from: .

Martin, Geoffrey, Remzi Gözübüyük & Manuel Becerra (2013) «Interlocks and firm perfomance: The role of uncertainty in the directorate interlockperformance relationship». Strategic Management Journal, 36, pp. 235-253. Retrieved from: <https://doi.org/10.1002/ smj.2216>.

Mintzberg, Henry (1978) «Patterns in strategy formation». Management Science, 24 (9), pp. 934-948. Retrieved from: <https://doi.org/10.1287/ mnsc.24.9.934>.

Mitchell, J. Clyde (1974) «Social networks». Annual Review of Anthropology, 3, pp. 279-299. Retrieved from: <https://doi.org/10.1146/annurev. an.03.100174.001431>.

Parkhe, Arvind, Stanley Wasserman & David Ralston (2006) «New frontiers in network theory development». The Academy of Management Journal, 31 (3), pp. 560-568. Retrieved from: <http://www.rcmewhu. com/upload/file/20150528/2015052810342 4_5645.pdf>.

Peng, Mike, Sunny Li Sun, Brian Pinkham & Hao Chen (2009) «The Institution-Based View as a Third Leg for a Strategy Tripod». Academy of Management Perspectives, 23 (3), pp. 63- 81. Retrieved from: <http://doi.org/10.5465/ AMP.2009.43479264>.

Published

2017-08-29

How to Cite

Córdova, M. (2017). Are networks important in order to secure a firm’s strategy? – A literature review. 360: Journal of Management Sciences , 1(2), 106–117. https://doi.org/10.18800/360gestion.201702.006

Issue

Section

Articles