Chapter Ten
Management Practices to Sustain Network Advantage
What do food manufacturer Douwe Egberts/Sara Lee, beverage giant AB InBev, mobile phone maker Nokia, Internet communications company Skype, and Microsoft have in common? Each firm has partnered with Philips Electronics. In fact, during the period 2000 to 2011, Philips formed 91 alliances with partners in different industries. Philips epitomizes the kind of firm that generates innovations by seeing alliances as opportunities to blend and intertwine different types of businesses and industries. For example, Philips partnered with Douwe Egberts/Sara Lee to make Senseo coffee pod systems: Philips manufactured the coffee-making machine and Sara Lee roasted and packaged the coffee. The ...
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