Network Theory of Internalization and Social Capital in...

It has been shown that organizations that are part of an enterprise network achieve a more solid and competitive structure, can access specialized services technology, purchase of inputs, financing and improvement of industrial processes, in addition to enhancing its competitive progress in terms of processes products and innovation. Michael Porter established a theoretical framework for enterprise application in industries which analyzed the processes and activities that create value in the organization and dynamics with your competition and market. However, the formulation of the Porter value chain was limited to vertical view of organizations, making rigid implementation in non-industrial or horizontal integration features flexible†¦show more content†¦These interrelationships include technical and behavioural aspects based on the conditions and components that influence your own . ( Louffat , 2009). A business network is a coordinated group of a number of independent organizations , with flows of resources , information and knowledge , which are grouped by bonds of trust relationships to achieve common goals , achieving higher levels of efficiency and competitiveness that are unattainable individually. (Gonzalez, 2010). Enterprise networks are structured with the purpose of developing joint strategies which generate competitive advantages, together encaren the changing market environment, implement technologies to manage knowledge and collective efficiency , combining culture network to minimize controversy. The structuring of business networks seeks to enhance individual skills in the productive interaction of its members. The Tics become this framework, a vehicle for integration of nodes and productive capacity of knowledge and value. However, the design of enterprise networks involves an analysis of the impact and involvement that can produce the new dynamics between nodes, this interaction based on a systematic approach where the inputs , processes and outputs among network members may favour or disfavour a particular dynamics . According to Gonzà ¡lez ( 2010) network design can be analyzed under theories : the dynamics of resources for effective optimization, dynamicShow MoreRelatedInternationalization Theory and Its Impact on the Field of International Business7496 Words   |  30 PagesInternalization Theory and its Impact on the Field of International Business Alan M. Rugman and Alain Verbeke Abstract Internalization theory explains the existence and functioning of the multinational enterprise. It contributes to understanding the boundaries of the MNE, its interface with the external environment and its internal organizational design. 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