How strategy and network changes are linked?
Summary :
Table of Contents
- Summary.
- Introduction.
- Network change: What is it and what are the main characteristics?
- Network change and strategy perspectives.
- Broad network change.
- Is change beneficial or risky?
- Network change and Strategy: Common characteristics.
- Importance of strategic change and network change.
- Comparison strategy formation and network change apparition.
- Industry context versus role of firms in network change.
- How strategy and network change are linked?
- Network change modifies strategy.
- Strategy influences the network.
- Limits and critics of the study.
- Conclusion.
- Bibliography.
Abstract
This paper focuses on the relation between the network changes and the strategy of an organization. It also provides a description of the links between those two concepts. The network change is an essential part of the understanding of industrial network. Its importance is related to the fact that a network is something stable but always in movement. This concept is useful to analyse and understand the strategy of an organization related to its relationships. Based on the studies of the IMP group on industrial network and on the strategy theorists, we can conclude that the concepts of strategy and network changes have many characteristics in common. Furthermore, they are dependent on each other in the way that network changes modify the strategy and the strategy influences the network. The studies that have been performed in the field of strategy have demonstrated that many actions can be taken by an organization in order to make choices and changes. In this point of view, organizations have a certain degree of freedom. On the other hand, many studies on the organization and its environment have been performed and demonstrated that the organizations are not totally independents and do not have that much freedom. The environment in which a firm performed cannot be controlled. The environment is always changing and firm has to face those changes and adapted to its environment.
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