Strategies in network industries: the importance of inter-organisational networks, complementary goods, and commitment

This paper focuses on technology battles that are fought in network industries. The literature primarily focuses on battles that have occurred in single industries. With the convergence of industries, products that originate from different industries can be connected in technological systems, and ba...

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Bibliographic Details
Published in:Technology analysis & strategic management 2015-01, Vol.27 (1), p.73-86
Main Authors: van de Kaa, Geerten, de Vries, Henk J., van den Ende, Jan
Format: Article
Language:English
Subjects:
Availability
Commitments
Convergence
Dominance
inter-organisational networks
Literature
Management theory
Network industries
Networks
Products
Social networks
Strategic management
strategies in network industries
Strategy
Studies
Technology
technology battles
Technology standards
Wireless networks
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Summary:This paper focuses on technology battles that are fought in network industries. The literature primarily focuses on battles that have occurred in single industries. With the convergence of industries, products that originate from different industries can be connected in technological systems, and battles are fought over standards for these systems. In this paper, we focus on these types of battles and investigate which factors impact their outcome and how these factors are related to each other. We analyse two technology battles: for wireless home networking and for an e-purse technology. Our findings show that provided that the actors are committed to the success of the standard, size and diversity in the inter-organisational network increase the availability and variety of complementary goods which positively influence the installed base of the standard which then may lead to its dominance.
ISSN:0953-7325
1465-3990
DOI:10.1080/09537325.2014.951320