ABSTRACT
This chapter deepens the understanding of business ecosystems in general, the evolution of business ecosystems, and business ecosystem governance. The complexity of interactions that arise within a business ecosystem requires governance mechanisms to manage the ecosystems effectively. Generally speaking, governance determines who has power, who makes decisions, how other stakeholders make their voice heard, and how account is rendered. Alongside contracts, rules, and procedures, contractual governance can also include common staff, linking-pins, or joint network information systems. Relational governance is a response to the observation that inter-organizational exchanges are often repeated exchanges embedded in social relationships rather than in formal contracts. In the leadership stage, the investment directions and technical standards of the business ecosystem are determined. A lack of commitment to the required resources, which can be any type of resources, like finance, time, physical space, materials, or personnel, impacts the effectiveness of collaboration. This may emphasize the need for contractual governance mechanisms, focusing specifically on the control function.
