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In this paper, the basic tenets of the European industrial networks research tradition are introduced. It is argued that the network approach offers a particularly powerful descriptive tool for analyzing contemporary interorganizational business exchange. The network approach is applied in a case study of a Finnish SME sector furniture manufacturer’s focal net. The case study should be understood as an example of how the network approach can generate meaningful analyses and provide practical implications for capability development, marketing and purchasing, and strategy development.

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