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Companies inevitably interact and entrench in complex organic systems of business relationships with other. These business networks are not objectively defined, instead they are shaped by the subjective perception of actors. This inherent subjectivity is associated with the notion of network pictures, that is, a research tool that researchers or managers can use to grasp practitioner theories. In this chapter, we discuss how the importance of identifying these theories results mainly from underlying principles of sense-making theory, as well as from the idea around performativity. Drawing on these theoretical groundings, this chapter has two objectives: to explore how practitioners actually perceive their business surroundings and to assess the extent of overlapping between (IMP Group) academic theories and practitioner theories. To achieve these objectives, the researchers use a dimensional network pictures model previously developed in the literature to analyze the network pictures of 49 top-level managers across 17 companies from two very distinct contexts or networks: a product-based network and a project-based network. Among other practices, findings illustrate how practitioners tend to simplify what is going on in their complex surroundings, to personalize their relationships with those surroundings, and to think in a stereotyped way. Moreover, the juxtaposition between the captured practitioner theories and academic (IMP Group) theories show that these are not always overlapping, and are in some cases quite the opposite. This research contributes to the ongoing discussion of the importance of grasping actors’ views of the world, arguing that sense-making theory and the notion of performativity are the two main conceptual drivers justifying the urgency in making those views more visible. This research also adds to the research on the impact and suitability of IMP Group theories on managerial thinking and practice. Finally, this research reinforces the current call for further practice-based research in business network contexts.

Case studies of four important automobile firms are used to understand how the performance of both diversifying and new entrants into the automobile industry was conditioned by their pre-entry experience. Various conjectures based on the four firms are then tested using a unique data source on the pre-entry backgrounds of all entrants into the automobile industry from the commercial inception of the industry in 1895 through 1966. In addition to analyzing the types of pre-entry experiences that affected the longevity of entrants, the analysis also focuses on the conduits by which pre-entry experience influenced the performance of entrants and the extent to which pre-entry experience had enduring effects.

This paper exposes the development of markets-as-networks theory from formal inception in the mid-1970s until 2010 state-of-the-art, en route presenting its historical roots. This largely European-based theory challenges the conventional, dichotomous view of the business world as including firms and markets, arguing for the existence of relational governance structures (the so-called “interfirm cooperation”) in addition to hierarchical and transactional ones.

The issue dealt with in this chapter is the role of management in developing and maintaining business relationships among companies. Interdependent business network structures result from interactions in dyads between single actors and interactions among all involved actors collectively. Managers as ‘architects and constructors’ of business relationships, involved directly in developing the relationships between customers and suppliers, are mostly middle-management positions rather than top management. Purchasing managers, sales managers and technical managers are fundamental for the development of business relationships as they create value in business relationships. Relationships between companies cannot be developed unilaterally; they have to be developed jointly. Since value creation requires involvement of others, motivating other actors and mediating are fundamental in developing relationships and creating value. The effective development of business relationships of value hinges on the capability and skills of management to work with and through others, to relate to others and to cope with interdependencies that arise in relationships. However, the capability of a company to interact and create value in business relationships is not simply a sum of individual managerial skills; it is an issue of organising the interfaces in relationships to other business.

The concept of organizational knowledge, as a major determinant for global competitiveness, has received significant attention in recent years. In this paper, we discuss the importance of managing human resource knowledge to enhance the effectiveness of global corporations. A theoretical framework is proposed for understanding the effectiveness of knowledge management processes as a function of strategic considerations, administrative heritage, and technical systems, as embedded in the cultural context of the society. Later, we propose that individualistic vs. collectivistic cultures process the various types of knowledge differently, and prefer different modes of knowledge conversion based on their cultural values. Implications for international human resource management are discussed.