Project Management

How Firm Strategies Influence The Architecture Of Transaction Networks

Date Added: Jan 2011
Format: PDF

In the paper of business ecosystems, hierarchy is an architectural property that refers to the degree to which transactions proceed in a single direction, from "Upstream" to "Downstream." It is often assumed that a unidirectional flow of goods in a value chain implies a corresponding hierarchy in the transaction networks of firms participating in the chain. However, this is an untested hypothesis: in fact, little is known about whether hierarchy varies across transaction networks, and, if so, what causes such variation.