Lecture 1: Social network Analysis

Question 1

Evaluating and changing your alliance portfolio configuration

Answer 1

• Count and analyse open and closed ties
• Use the CAT tool (industry, market power, breadth of product portfolio)
• develop portfolio adjustment plan

Question 2

Build open ties

Answer 2

5 ways:

1) partner with a complementors
2) partner with makers of substitutes
3) partner with new industry entrant
4) partner with your partner’s competitors
5) partner with your direct competitors

Question 3

Build closed ties

Answer 3

4 ways:

1) make referrals
2) seek referrals
3) neutralise a broker
4) form a union

Question 4

Definition:status

Answer 4

Perceived level of leadership and influence a firm has in its industry.
- operational status: quality of products and strength of the brand
- network status: depends on the leadership and influence of your partners
Nb: Reputation is part of status

Question 5

Characteristics that contributes to status

Answer 5

• financial success
• possession of valuable capabilities
• quality product/services
• reputation of honest dealings

Question 6

Advantages of high status

Answer 6

• information: share more information with high status firms
• cooperation: attractive partner
• Power: influence others make them comply

Question 7

5 PR stratégies to increase your status

Answer 7

1) take leadership role in industry events (participate, sponsor)
2) develop communication strategy around critical industry issues
3) become a convener of industry events (organise)
4) announce small wins with alliance partners
5) become a thought leader on alliances and beyond (get engaged with researchers and teachers, get someone to write about you)

Question 8

Boundary definition

Answer 8

• exogenously: industry group
• relationally: 3 steps from core sets of nodes
• methodologically: data collection

Question 9

Layout

Answer 9

• random
• sphere
• fruchterman-reingold
• kamada-kawai

Question 10

Degree centrality

Answer 10

Number of edges a node has.
Degree of exposure to whatever is transmitted in the network.
- in degree: people following me
- out degree: people I follow

Question 11

Clustering coefficient

Answer 11

Count the number of links between nodes in ego network and divide by the number of possible links between them.

Question 12

Eigenvector

Answer 12

Ax=lambda x