Local networks in global networks: is it possible?

This paper is aimed at understanding if and how the local business relationships of a firm operating in a local cluster support its relationships with international customers. We address this research question applying a twofold methodology using both a quantitative approach - one-way analysis of variance (ANOVA) and the case study research method on a sample of firms operating in the Italian mechanical local cluster (MLC). We discover that partnerships with local suppliers enhance the internationalization of local cluster firms. Partnerships with local suppliers are associated with anticipated constructive effects that strengthen the flexibility of the firm and its ability to cope with an ever increasing complexity of the environment thus supporting its internationalization.