1 Department of Marketing and Statistics, Aarhus School of Business, Aarhus BSS, Aarhus University2 MAPP - Centre for Research on Customer Relations in the Food Sector, Aarhus School of Business, Aarhus BSS, Aarhus University3 unknown
A study of the Danish foods industry shows that producers of food products largely ignore home marekt demand in their product development activities. They have built up and maintain development of end-user products in interaction with customers in distant sophisticated markets. Concurrently, the Danish agro-industrial complex has been singled out in other studies as a paradigmatic example of how crucial a sophisticated home demand is for the development of an industrial complex. The apparen contradiction arises from the complex's ability to utilize a complemntarity between companies' equidistant view of actors in the global end-user customer market and companies' euclidean view of actors in thelocal business-to-business market. In pr companies combine these two market views by interacting in networks: The global industrial network links various functions which again are each part of a local network in which the functions produce and utilize sticky and fastchanging information production and markets respectively. The long-standng success of the Danish agro-industrial complex is explained in terms of the activities of those of its companies which interface with the external market, namely their development of end-user pr through global interaction. It is precisely by not interacting with home market end-user demand, but rather by deriving an industrial home market demand from changing end-user markets that the complex has avoided being insulated.
HHÅ forskning; MAPP
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8th IMP Conference on Business Networks in an International Context, 1993