Internationalization of Supply Networks Inside and Outside Clusters

Purpose - The purpose of this paper is to compare supply network strategies of district firms (from now on ID) and non-district (non-ID) firms with the aim of outlining emerging strategies as well as identifying similarities and differences between business models. Design/methodology/approach - The analysis is based on a quantitative approach: the TeDIS survey focuses on 45 leading Italian districts and SMEs located outside districts (Made in Italy sectors). Results refer to 630 Italian firms. Findings - There are more similarities than differences between the approach of ID and non-ID companies to supply networks. ID firms rely more on local systems in terms of supply networks, while non-ID firms have also invested at national level (subcontracting networks). The global geographical extension of supply networks stresses the ID companies' search for efficiency in addition to value-added competences. Non-ID firms have a more hierarchical approach to internationalization than ID firms, but differences decrease as the size of the companies increases. Research limitations/implications - The study is still preliminary. Future research should explore the relationships between the strategic approach to supply networks of district firms and non-ID firms in terms of characteristics of the relationship management and aims of relationships, also with a focus on the size of these firms. Originality/value - Within the existing literature, the original contribution of the paper lies in its comparison of supply network strategies in ID and non-ID firms based on a significant quantitative analysis.