There is an increasing concern for, on the one hand, networked business strategies and, on the other, the competitiveness of localized small-firm clusters. This paper first reviews four different strategy frameworks — the resource-based organization, the industrial organization, the virtual organization and the industrial district — from a network perspective. Eleven generic dimensions of such strategic frameworks are generated and operationalized. Then graph analysis is used to map a small business community in which furniture manufacturing and retail make up the core industry sectors. Three centrally positioned firms in the local production networks are identified and interviewed face-to-face. The owner-managers were asked to map their enactment of business strategy according to the operationalized frameworks. The findings demonstrate that no single strategic framework can make the firms' strategic conduct intelligible. The use of advanced information technology ensures that all three firms align to features associated with virtual organizing. The balanced use of strategies is assumed to add to the competitiveness of firms and local business systems. The paper concludes with suggestions for further research and advice for practitioners.
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