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The “robust networks” concept of Ferdows is examined and related to other key theories from the manufacturing strategy literature, resource‐based and other conceptualisations of the organisation of innovation in international networks, and the international business debates on “operational flexibility”. The cases of seven international automotive assemblers with operations in Brazil are then considered in the light of Ferdows’ framework and the external factors bearing on the country and the sector within it. It is evident that, among the global assemblers, the “world” car strategy is dominant, leading to a concentration on the “source” and “lead” roles for individual plants, often combined with radical logistical arrangements. This seems in turn to support the argument for “robustness” rather than “operational flexibility”. Suggestions are made for further work to study the luxury car assemblers and other sectors where economies of scale are less important and where there is a greater degree of global dispersion of production facilities.

It is argued that existing literature on knowledge management fails to combine inter‐and intra‐organizational knowledge transfers and also neglects the role of spatial proximity in face‐to‐face transfers of tacit knowledge. A model is developed that captures these variables in a dyadic transfer situation, and short cases illustrate aspects of the model. Suggestions are made on how the dyadic model may be developed to apply to interactions in networks of more than two actors.

Faced with declining market share and sales, Natura, Brazil’s second-largest brand in the cosmetics, fragrances, and toiletries market, expanded its customer reach by moving from a direct-sales company to a multichannel company. In 2014, Natura added online catalogs, physical stores, and drugstores to its well-established direct-selling model, but the results were disappointing. Between 2014 and 2016, three different Natura CEOs attempted to lead the company in the strategic transition to focus less on the direct sales consultants and more on reaching the end consumers directly with multiple channels and touchpoints. In October 2016, the company’s board appointed its former commercial vice president, João Paulo Ferreira, as the most recent CEO. Ferreira’s challenge was to find the right balance between the direct-selling and other channel formats to market Natura, thus enabling it to thrive in the face of intense competition in the beauty and personal care market in Brazil.