ABSTRACT

This chapter explores the strengths and weaknesses of inter-firm networks as a public policy resource which has necessarily required experimentation and adaptation. It presents an evaluation of the inter-firm network initiatives operated by Training and Enterprise Councils (TECs) and their partners from the point of view of the companies participating in these initiatives; which are overwhelmingly small and medium-sized enterprises. The chapter evaluates how network initiatives contribute to these outcomes through two differing channels: informal network initiatives and formal network initiatives. The survey assessed the extent to which the inter-firm network initiatives facilitated by TECs and their partners attempted to create and engender interaction between participating firms. A lack of compatibility among participants was recognised as a key barrier limiting interaction and co-operation. Sustainability is closely related to exposure to interaction within the initiative that had been at least fairly intensive compared to only 10 per cent where the interaction was unintensive.