THE NETWORK PARADIGM - NEW DEPARTURES IN CORPORATE AND REGIONAL-DEVELOPMENT

Networking is a much-discussed organisational practice. The authors analyse the nature and extent of networking activity within and between firms, making the criticism that present organisational theory pays insufficient attention to network relations between firms and public or quasi-public intermediary agencies. This is an especially important phenomenon in small and medium-sized firms. A critical depiction of networking at the interregional and, more especially, the intraregional levels then follows. Detailed accounts are provided of network interactions in the economically strong regions of Baden-Wurttemberg and Emilia-Romagna. The experiences of regions that have sought to learn from strong regions are explored, the cases of the Basque Country and Wales being highlighted. It is concluded that, although it is unreasonable to expect regional networking policies to enable reconversion regions to reproduce the accomplishments of strong regional economies, it has become normal for such regions to be engaged in a productive learning and adaptation process based on the analysis of key mechanisms of intraorganisational and interorganisational networking.