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Advancing to the virtual value chain: Learning from the Dell model

Introduction

Many analysts expect that the pace of change in the new, global economy will accelerate to the point where only the most flexible organisational structures will be able to withstand the stress. Intensifying competition from "giants around the globe and knowledge-based entrepreneurs around the corner" will drive corporations to seek out new sources of competitive advantage and new allies in the struggle to survive (Economist Intelligence Unit and Arthur Andersen, 1997: 1). The outer limits of every corporate structure will be stretched by outsourcing arrangements and strategic alliances and will ultimately create inter-firm networks or even "virtual" organisational forms. This ...

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