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Global business networks. Concept - structure - competitiveness

Global business networks. Concept - structure - competitiveness

The monograph is focused on the issue of the global economy of the 21st century and an ongoing transformation of typical enterprises, based on the division of functions and hierarchical structures, into network organisations with hybrid, globally-dispersed connections. The author argues that the most powerful corporations (Top-TNCs), in their strive to maintain the position of sector-specific leaders and the associated long-term competitiveness, pursue the model of business integration and position themselves as orchestrators of global business networks (GBNs).

This monograph aims to prove that global business networks are a new model of building international competitiveness based on the concepts of networking, orchestration, and coopetition. The assessment of GBN competitiveness requires a multi-dimensional approach, enabling the evaluation of the synergic influence of both economic and intellectual capital on the process of creation of added value.

List of abbreviations   7

Introduction   9


Chapter I. Concept of a global business network in light of economic theory    15

1.1. Network approach – the genesis and evolution of network thinking        15

1.2. Business networks as a type of regulation model       19

1.3. Attributes of a global business network – a comparison with other network models                27


Chapter II. The structure of a global business network  35

2.1. Transnational corporations – the evolution of the business model             35

2.2. The role of globalisation in shaping global business networks   42

2.3. A business integration model – the target structure of a global business network                47

2.4. Attributes of the orchestrators of global business networks    53


Chapter III. Stratification of the capital of network organisations            59

3.1. The systemic nature of an organisation’s layers of capital         59

3.2. An organisation’s knowledge capital – intellectual capital vs human capital             64

3.3. The importance of an “organisation’s knowledge capital” in its corporate strategies – based on research for industry sector leaders                72

3.4. Capital of the orchestrators of global business networks         85


Chapter IV. The competitiveness of network enterprises            95

4.1. The competitiveness of enterprises in light of the modern enterprise theory         95

4.2. The system of international competitiveness            103

4.3. The concept of the international competitiveness of enterprises            111


Chapter V. Assessing the competitiveness of global business networks             121

5.1. Selected methods of a multi-dimensional assessment of complex structures          122

5.2. A measure of the ability to create value-added – an aggregated assessment of GBN efficiency from the point of view of an orchestrator         132


Conclusions    143

References      153

List of tables and diagrams       167