Factors affecting SME owner-managers' willingness to share knowledge online in rural local business networks

This article integrates typically separate SME research on e-commerce, business networking, and knowledge management into a model explaining factors influencing the willingness of SME owner-managers to share knowledge online in business networks in rural districts. This is important because e-commerce can assist owner-managers, often dispersed in rural districts, to share knowledge between face-to-face networking events. The main factors associated with willingness to share knowledge online were their willingness to share knowledge face-to-face and their intensity of Internet use. Entrepreneurial factors such as owner-managers' expectations of rapid growth, trading outside the district, and seeking information about customers/competitors were indirectly associated with online sharing via intensity of Internet use only. The model suggests network coordinators could encourage online knowledge sharing by assisting owner-managers to see the business value of e-commerce and by ensuring that networking events are suitable for owner-managers, whether or not they have entrepreneurial goals, to facilitate face-to-face knowledge sharing.

What is Chinese about Chinese businesses? Locating the 'rise of China' in global production networks

There is an implicit but commonly held assumption that Chinese businesses are distinctively Chinese. Casting them in unitary and national terms, this assumption has often provided the underpinnings for the conception of the strength of Chinese businesses as signs of an emerging China threat. Drawing on a global production networks (GPN) approach, this paper aims to question the assumption by arguing that many Chinese businesses, embedded in the expanding global and regional production networks, have taken on important transnational characteristics. Given these transnational connections, Chinese business networks in both 'Greater China' and China proper are characterized more by diversity and fragmentation than by cultural coherence and homogeneity. This analysis of the transnationalization and fragmentation of contemporary Chinese businesses helps better understand and respond to the complex challenge posed by the economic dynamism in China.

Innovation in logistic services and the new business model : a conceptual framework

Service industries hold an increasingly dynamic and pivotal role in today’s knowledge-based economies. The logistics industry is a classic example of the birth and development of a vital new service-based industry, transformed from the business concept of transportation to that of serving the entire logistical needs of customers. Quantum advances in science, technology, and communication in the new millennium have compelled firms to consider the potential of the so-called new “resources” (technology, knowledge and relationship networks) that are essential if firms are to operate effectively within the emerging business model, and to utilise the opportunities to innovate and gain market leadership. Through an extensive literature review, this paper examines the factors that nurture innovation in logistics services, identifies the contributions of the new “resources” and, using industry examples, examines the application of these resources to logistics firms as they assume an extended role within the new business model

Virtual communities of practice for regional small businesses: bringing informal networks online

Virtual communities of practice (VCoPs) are online business networks which are increasingly used by large organisations as a key strategy for creating value in the knowledge-based economy of the 21st Century.This paper examines the applicability of VCoPs to cross-industry regionally clustered small business networks. Interviews conducted with government and industry informants in two regional areas of Australia indicate that these strategies used for establishing VCoPs are applicable to such small business networks. Both regions had regional networks with active member involvement displaying CoP characteristics. Significant social capital existed on which VCoPs could be built, and there were viable alternatives to satisfy the roles of sponsors and leaders. There were, however, significant impediments that will have to be addressed before VCoPs can be  implemented such as the apparent reluctance of many SME owners to use the Internet and ICT generally, and the preference for informal networking. Funding to ensure that VCoPs are sustainable was also an issue. VCoPs appear to be extremely useful in linking small businesses in regional areas and in the development of viable regional clusters.

Socio-technical factors influencing channel use for knowledge-sharing in regional SME networks

The economic sustainability of regional areas is dependent on cross-industry innovation and knowledge-sharing among Small and Medium Enterprises (SMEs). The web-based initiatives deployed in regions worldwide to facilitate SME knowledge-sharing have typically been unsuccessful. This paper argues that the main reason for these failures is the lack of understanding of the socio-technical factors which influence the use of web-based channels (websites, online forums and expertise databases) as well as the more conventional channels (face-to-face and e-mail). This paper reports the findings of interpretive case studies of two regional SME business networks. It evaluates the major channels on six socio-technical criteria: link strength; trustworthiness; tacitness; usability; durability and currency. None of the channels were strong against all socio-technical factors. This highlights the importance of achieving an appropriate mix of channels to facilitate SME knowledge-sharing.

Emergence of trust in interorganisational networks

The conditions under which trust emerges as a governance mechanism in interorganisational networks was examined. The findings indicate that interorganisational trust is fostered when network members identify with common goals, when there is high interpersonal trust between key individuals in the networks, and when norms favouring reciprocity and cooperation develop.

Small firms as social formations : relationships as the unit of analysis for eBusiness adoption research

Existing research concerning the adoption of Electronic Business (eBusiness) by small firms has primarily investigated the factors influencing their adoption decisions, with firms being the unit of analysis. In addition, the research assumes that it is primarily small firm owners, employees, trading partners, eBusiness product/service providers, government and business networks which influence adoption. This paper argues that small firms can more accurately be characterised as social formations whereby family, friends and social networks most likely play a significant, often overlooked, role. On this basis the paper argues that future research should include relationships within and external to small firms as the unit of analysis, not just the firm. The paper concludes by examining whether the theories commonly used to explore small firm eBusiness adoption are suitable for relationship-based research.

Factors influencing Australian SMEs knowledge sharing online

The Web offers a powerful tool for knowledge-sharing among small and medium sized enterprises (SMEs). Such online initiatives have, however, frequently been unsuccessful. This paper examines factors motivating SMEs to share knowledge online. It reports data from a telephone survey of 192 SME members of two successful regional business networks comprising members from diverse industries. Although the majority of SMEs actively used the Web in their daily business operations and most were willing to share knowledge face-to-face, this did not translate into willingness to share online. The most significant factors affecting the willingness to share knowledge online were the how many of networks SMEs were involved in, the number of years an SME had been in business, the geographical scope of their operations, and intensity of their use of the web. These findings challenge the commonly-held view that SMEs will automatically share online if the infrastructure is provided.

The impact of external forces on cartel network dynamics : Direct research in the diamond industry

This paper describes the impact of external environmental forces on cartel networks. Using a case research approach, this report examines two leading business networks within one industry, over time. The results suggest that (a) bargaining power of intermediaries increases with the advent of new and powerful actors, (b) process activities that cartels previously controlled are being outsourced to new actors sometimes based in developing countries, (c) other actors are acquiring resources once dominated by a cartel, (d) external forces triggered by the illegal diamond trade, such as international regulatory constraints, no longer favour cartels like De Beers, and (e) over time, these and additional environment factors are forcing actors like De Beers who perform rigid process activities to become more flexible. For example,forces are moving cartels which relied previously on hand-picked intermediaries in highly controlled networks to market their products to adopt a flexible market-focused expansion of operations in retail contexts.

Virtual communities of enterprise value creation potential for regional clusters

The research examines regionally networked small business practices. A new concept Virtual Communities of Enterprise is proferred to explain the nature of knowledge sharing both interpersonally and online, and its potential for creating value for small businesses and their regions. Social capital emerges as an essential pre-requisite for accessing value.

Negotiating vertical IS standards : a two industry case study

Using Actor-Network Theory (ANT), this thesis describes arguments and inducements organisations can offer other organisations to participate in Vertical IS standardisation initiatives. To develop public goods such as Vertical IS standards, a persuasive value proposition is needed to encourage participation. Without social interactions between participants, tensions may hinder the progress of standards developments.

Developing reflexive capability for successful joint ventures between Australian and Malaysian property and construction professionals

Increasingly Malaysian property and construction firms are seeking to work internationally. Firms enter international markets through various strategies and typically property and construction professionals rely on developing various forms of cooperative and collaborative arrangements. The common modes of entry include international alliances, project joint ventures, partnerships, company joint ventures and large consortiums; which arise as a response to clients seeking expressions of interests from the international community or the firms seeking to internationalise approaching clients and/or potential host country partners. Increasingly project teams on international mega projects are composed of multiple key partners from different countries coming together to achieve a higher level of strategic flexibility. Establishing and maintaining local connections and business networks are therefore critical to ensure the success of exporting firms. This paper reports the findings of a project which explores factors affecting the performance of Malaysian property and construction professionals working internationally through effective joint ventures. The project seeks to develop a performance measurement framework to examine the extent to which Malaysian firms are developing sustainable business models internationally which adapt and respond to changing conditions. A generic framework was initially developed prior to this study through a grounded theory approach merging theory from internationalisation, design management and market knowledge literature followed by a case study empirical investigation and then further literature review based upon the themes which emerged from the case study analysis. A reflexive capability model for firms in managing both economic and non-economic capital; including social, cultural and intellectual capital was developed. This project seeks to build upon the reflexive model by adapting it to the unique contexts related to the specific geographic localities of exporting Malaysian firms. Specifically, the project explores the extent to which the performance measurement framework can be used to map capabilities Malaysian construction firms have and Which they need to develop in relation to developing and maintaining international collaborative partnerships. The preliminary results of one case study Malaysian architectural firm are discussed.

Challenges of international design chain integration and cultural diversity : organisational reflexive capability

Increasingly project teams on international mega projects are composed of multiple partners from different countries forming joint ventures to achieve a higher level of strategic flexibility. Establishing and maintaining local business networks are critical to ensure the success of exporting firms. Firms who achieve competitive advantage in international markets and long term economic sustainability constantly adapt their business practices to achieve client satisfaction by a combination of self, market and project needs assessment. Successful firms ultimately achieve this in local markets but in international market this is intensified with the complexity of barriers grounded in cross-cultural contexts. The need for flexibility, adaptability and continual reassessment is enhanced as the market evolves in various localities. Reflexivity theory was used to develop a conceptual model to explain the way in which firms develop awareness, responsiveness and adaptability for long term success in diverse international markets. This paper summarizes the initial Australian study which developed the model grounded in empirical observations of design construction firms working on projects in developing countries and a second study of Malaysian firms which validated the model. The aim of this study was to develop a performance measurement framework for capabilities assessment of international collaborative partnerships. The study explored the joint venture partnerships between Australian and Malaysian property and construction professionals. Four Malaysian organizations were examined as case studies and two key activities of design management and knowledge management were analyzed in relation to social, cultural and intellectual capital transformation within the Reflexivity Capability Maturity Assessment Framework.

The impact of external forces on cartel network dynamics: direct research in the diamond industry

This paper describes the impact of external environmental forces on cartel networks. Using a case research approach, this report examines two leading business networks within one industry, over time. The results suggest that (a) bargaining power of intermediaries increases with the advent of new and powerful actors, (b) process activities that cartels previously controlled are being outsourced to new actors sometimes based in developing countries, (c) other actors are acquiring resources once dominated by a cartel, (d) external forces triggered by the illegal diamond trade, such as international regulatory constraints, no longer favour cartels like De Beers, and (e) over time, these and additional environment factors are forcing actors like De Beers who perform rigid process activities to become more flexible. For example, forces are moving cartels which relied previously on hand-picked intermediaries in highly controlled networks to market their products to adopt a flexible market-focused expansion of operations in retail contexts.