The interaction approach

Question 1

Describe the network approach Håkamson

Answer 1

Actors: Companies which aim for increasing the control/position of the network

Resources: Financial, People, Technology

Activities:Transaction acts, Transformation chain, Transaction chain.

Actors–>Control resources
Actors—>Perform Activities
ResorucesActivities. Link and exchange resources

Question 2

Describre a relationship according to the network approach

Answer 2

A relationship consists of varying parts of:

Actor bonds: Individulas learn to know each other and create trust

Activity links:: JIT solutions

Resource ties: Physical ties – pipelines
’Heavy resources’ for example in the process industry System suppliers who adapt production equipement to certain customers

Question 3

what are the steps in relationship development

Answer 3

Relationship Development

1. Pre relationship Stage High Inertia

What will we both get?
How much investments?
What adaptations?
What learning?
Trust?

2. Exploratory stage

Investment of time for learning & distance reduction no routines or commitment

3. Developing Stage
   Intensive mutual learning, building trust through investment & unformal adaptation
4. Stable Stage

Routine and Institutionalisation

Question 4

Describe the Interaction Approach

Answer 4

SELLER
Organization
*Technology
* Structure
Strategy

INDIVIDUAL

• Aims
• Experience

BUYER

• Organization
• Individual

ENVIRONMENT

• Market Structure
• Dynamism
• Internationalization
• Position in the manufacturing channel
• Social System

ATHMOSPHERE

• Power/Dependece
• Cooperation
• Claseness
• expectation

SHORT TERM

• Product/Service
• Information
• Financial
• Social

LONG TERM

• Institunalization
• Adaptation

Question 5

Describe the Network Layers

Answer 5

Supply Networks
Distribution Networks
NETWORK LAYERS
*Activity Patterns
* Resource Constelations: How resources are distributed in the network and how
these are tied to each other.
Resource ties are established through adaptations of e.g. production equipment in different firms or by historical resource combinations.

*Web of actors
What firms, organizations and individuals are part of the network and how do they relate

Question 6

Describre Networks of different character

Answer 6

ACTIVITY CENTERED NETWORKS
Automotive industry
The coordination of activities is crucial
RESOURCE CENTEREd NETWORKS
Paper industry
Large fixed resources – resource use is crucial
ACTOR CENTERED NETWORKS
Dominated by large and powerful companies
Fashion industry (Nike, Benetton, Marks & Spencers)

Question 7

Describe NETWORK POSITION

Answer 7

NETWORK POSITION

Firms have network positions
A company’s network position is defined by the characteristics of the company’s
relationships and the benefits and obligations that arise from them (Compendium page
36)

The analysis of a network needs to take the point of departure in some FOCAL POINT, for example a COMPANY or a RELATIONSHIP.

By changing focal point new possibilities can be identified.

Changing network position as strategizing.

Additional Network Concepts

NEtWORK HORIZON – how extended a company’s view in the network is.
NETWORK CONTEXT – the part within the network horizon
NETWORK IDENTITY – how firms see themselves in network and how they are seen by others.