chapter  4
17 Pages

Dongfang Electric Corporation Case Study: Virtual Enterprise in Contract and Services Project

The partners of a network organization share information, resources, goals and opportunities. As described by Smith et al. (1995) and Thorelli (1986), networks are constituted by two or more firms, at least in part autonomous, which give rise to an exchange relationship. It includes the relationships of an enterprise, horizontal and vertical, with other organizations. Power and confidence relations are created by means of different organizations exchanging influences and resources. Jarillo (1988) has noted that networking is a fashionable topic that ‘lacks a generally accepted framework, with enough theoretical depth to help understand the plentiful anecdotal evidence’.