This paper reports on the findings of an investigation into small and medium-sized enterprise (SME) marketing networks designed to promote regional speciality food products. A case study methodology was adopted and two networks were studied: Parma Ham (Italy) and Saveur des Pyrenees (France & Spain). Network establishment, process and performance were studied. Enterprises joined marketing networks to improve access to resources; in particular they sought to leverage collective economies of scale to access new markets and market information. The networking process was influenced by member goal congruence, the level and type of interaction and, in particular, the relevance of network services to members' needs and expectations. Networks were found to enhance product promotion, quality assurance and access to information (market, technical and regulatory). Some network activities were transactional, for example information flow, while some were transformational, for example enhanced competitiveness and quality. From an enterprise perspective such competitiveness is to a large extent based on external collectively owned competencies (e.g. a collective brand). Network type was found to influence choice of governance mechanisms. In general, the establishment, evolution and governance of such inter-firm activity offer considerable scope for further research since such external competencies are likely to become increasingly important for food SME competitiveness.
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