Integrating Research on Inter-Organizational Networks and Ecosystems

Organizations are simultaneously embedded in inter-organizational networks and ecosystems, yet research on networks and ecosystems developed in isolation. The aim of this partial integration is to bring new energy into maturing research on organizational networks and greater structure to the burgeoning research on ecosystems. In this article, we underlie similarities and differences between networks and ecosystems; bring the ecosystems’ focus on modularity and complementarity at the forefront of inter-organizational research while enriching ecosystems scholarship with systematic applications of network analytic tools to map the patterns of component interdependencies

Integrating Research on Inter-Organizational Networks and Ecosystems

Organizations are simultaneously embedded in inter-organizational networks and ecosystems, yet research on networks and ecosystems developed in isolation. The aim of this partial integration is to bring new energy into maturing research on organizational networks and greater structure to the burgeoning research on ecosystems. In this article, we underlie similarities and differences between networks and ecosystems; bring the ecosystems’ focus on modularity and complementarity at the forefront of inter-organizational research while enriching ecosystems scholarship with systematic applications of network analytic tools to map the patterns of component interdependencies

Competing in groups

In this study, we examine how the characteristics of clique structures affect the performance of firms embedded within the cliques. Although it is generally accepted in organization theory and strategic management that firms are embedded within ego and overarching industry networks that each affect their behavior and performance, there is little evidence on whether cliques are stable features of industry networks or affect firm behavior or performance. We theorize that the value of a clique to its members depends on (1) the network centrality of the clique and (2) the internal structure and organization (heterogeneity and inequality) of the clique. Our analysis of the Canadian investment banking industry from 1952 to 1990 provides empirical evidence of stable cliques, and indicates that while a clique's internal structure and organization materially affect firm-level benefits of clique membership, its positional embeddedness within the industry network does not. Copyright © 2004 John Wiley & Sons, Ltd.