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CONTRIBUTORS:
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PROCEEDINGS TITLE:
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YEAR:
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1999
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PUB TYPE:
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Conference Paper in Proceedings
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PAGES:
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n/a -
n/a
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SUBJECT(S):
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Embeddedness; Social Relations; Subcontracting; Business Relations; Codes of Conduct
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DISCIPLINE:
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Business/Management
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HTTP:
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LANGUAGE:
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English
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PUB ID:
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103-394-751
(Last edited on
2003/09/26 07:45:10 GMT-6)
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SPONSOR(S):
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ABSTRACT:
In this paper I show how strategic action of SMEs is affected by their embeddedness in ongoing systems of social relations. This constitutive effect of embeddedness is described with specific empirical references to the metalworking industry in the geographical area of Horsens in Denmark. It is shown empirically and discussed theoretically how the particular embeddedness of SMEs constitutes a system of qualification which affects competition among subcontracting SMEs. It is argued that when competing for the constitution of cooperative relations with outsourcers and other subcontractors the strategic action of the embedded subcontracting SME is following a situated rationality affected by institutionalised codes of conduct. These codes of conduct enforce a sense of community among subcontracting SMEs, in which there exist a consensus of certain particularities of strategic action. The embeddedness of the SMEs is then concretely discussed in terms of "codes of conduct", "institutionalisation processes", "sense of communities", and "strategic action". This discussion is exemplified by empirical data from the metalworking industry.
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STATISTICS
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