Inter-organizational Capabilities and Network Member Dynamics

This paper provides a process model that shows how inter-organizational networks (IONs) assemble and maintain their member base to ensure collective rent generation. Based on an in-depth case analysis of a large retail network, we find that the ION relies specifically on three inter-organizational capabilities - sensing, bonding and deployment - to effectively detect potential threats and opportunities both internal and external to the network, to create cohesion among its members, and to approach and integrate new members. We show how these capabilities consist of a complex system of co-specialized routines that necessarily require both, network members and the network-administration-organization, to consistently maintain extant and acquire new members for the network.