An Organizational Strategic Analysis for Dynamics of Generating Firms' Alliance Networks

This paper proposes an analytical method for the dynamics of generating firms' alliance networks along with business phases. Dynamics in network developments have previously been discussed in the research areas of organizational strategy rather than in the areas of regional cluster, where the static properties of the networks are often discussed. The analytical method introduces the concept of business phases into innovation processes and uses relationships called prior experiences; this idea was developed in organizational strategy to investigate the state of networks from the viewpoints of tradeoffs between link stabilization and node exploration. This paper also discusses the results of the analytical method using five cases of the network developments of firms. The idea of Embeddedness helps interpret the backgrounds of the analytical results. The analytical method is useful for policymakers of regional clusters to establish concrete evaluation targets and a viewpoint for comparisons of policy programs.