Question

6. What are the major concepts involved in interactions among firms? Explain and provide an example of each.

How does technology/internet contribute?

Answer 1

Solution:

The interactions of the firms with other firms involve the flow of information and direct competition faced by the firms. If the two firms are working together on business then such an interaction between the firms would be to integrate their operations and work in harmony towards a project. There are multiple ways an interaction can happen within a firm and it requires careful examination of these ways to ensure that the interaction is proving positive for the firm.

The interaction of the firm with other firms would generally be very much information detailed interaction which would generally take a lot of time for accomplishing certain tasks. With the advent of the internet, such interactions can not be facilitated on any internet-based platform and firms can now interact 24*7 whenever the need be for an interaction. Hence, the internet has helped in making the interactions among the firms effective and fast. This is has helped in ensuring an effective business scenario.

Hence, this is how the internet has facilitated the interaction among the firms.