Examples of Virtual Networks

A group of UK-based engineering companies are using this approach to bid collectively for STG£50M per annum of work from a large European customer. Like many majors. this customer has a supply chain rationalisation (aka supplier reduction) strategy which would stop them dealing with the companies individually.

Another example is a group of European component manufacturers who used Virtual Networks to move up the value chain away from contract-specific components to branded solutions in the face of stern cost-based competition from Former Eastern Block companies exporting into their home market.

"used Virtual Networks to move up the value chain away from contract-specific components to branded solutions..."

A third example is a group of Mexican manufacturers who used this network approach to support their entry into a new, more sophisticated market (the US).