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Mechanisms of network formation: A structural analysis of the emerging nanotechnology R&D alliance network in Japan

This paper looks at the newly materializing nanotechnology industry in Japan, and attempts to answer the question of what processes shape the formation and change of the organizational field network. Nanotechnology is a loosely-coupled field and includes organizations from a diverse set of industries and fields that evolved through different historical pathways. To understand the boundaries of the industry, the authors compiled a relational database of nanotechnology R&D alliances during the 2005-2010 period including more than 600 Japanese organizations and 1784 unique alliances. Through examining the structural and dynamical properties of the network and performing a cluster analysis, the authors identified four underlying mechanisms that drive network formation and change: 1) force of existing relationships, 2) force of top-down systemizing discourse, 3) force of agency, and 4) force of geographical location. We argue that an accurate understanding of these forces is necessary to predict future trajectories in volatile high-tech industries, such as nanotechnology or biotechnology.