Sample Essay on:
Inter-Organizational Relationships as the Key to Survival in a Global Economy

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Essay / Research Paper Abstract

This 7 page paper considers how, in a fast changing global business environment, inter-organizational relationships are the key to the survival and growth of a firm. This is approached with the use of different theories, such as Porters value chain, Hannan and Freeman's population ecology and the lessons gained from Japanese keiretsu. Points raised are illustrated with real life examples. The bibliography cites 13 sources.

Page Count:

7 pages (~225 words per page)

File: TS14_TEinterorgrel.rtf

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Unformatted sample text from the term paper:

has driven the global economy. However, with decreased barriers and increased opportunity there is also increase competition which is may be good for the consumer driving the need for innovation and placing a downward pressure on prices. For this reason companies need to operate efficiently. It has been argued that the key to operating successfully in this environment is the efficient use of inter-organisational relationships. The aspect of organisational interdependence has been the subject of many studies with the benefits usually seen as outweighing any disadvantages (Steinfield et al., 1995, Bakos and Brynjolfsson, 1993). An inter-organisational relationship is a relationship between two or more organisations where there are linkages, flows or resource transactions taking place. There are many examples of inter-organisational relationships playing an important role in increased productivity and greater efficiency when required. One concept that can be cited is the supply chain and the way that the different organisations can work together to create value. In any business the supply chain is the chain from the production of the raw material through to the end user. For example, a supply chain in practice for a supermarket buying carrots to sell to its customers may be an upstream chain with the wholesaler first in the line upwards and at the source the farmer. The last sale is to a consumer, so there is no downstream. If a restaurant buys the carrots they are also part of the supply chain. To leverage this Porter described what he saw as a value chain (Porter, 1985). He divided this into five separate sections within any single organisation; inbound logistics, operations, outbound logistics, marketing and sales, and service (Porter, 1985). These different activities are ...

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