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Additionally, the agents (e.g., employees) inside the firm also
exist inside the general context and bring with them personal &
professional values and community assumptions prevalent in
the context to work every day.
● Enacted Context: This is the sliver of the total context with
which a system consciously chooses to interact. Every firm
enacts its own context. It could, for example, be a product-
market with a specific set of competitors, or on a larger scale a
country or the slice of the populace from which it draws its
workforce. No firm interacts with the entire context, only that
part it chooses to interact with. The selection of the enacted
context is, of course, one of the biggest strategic decisions a firm
makes.
● Ecosystem: A business ecosystem is the network of
organizations – including suppliers, distributors, customers,
competitors, government agencies, and so on – involved in the
delivery of a specific product or service through both
competition, cooperation, and co-opertition. A firm's ecosystem
is largely congruent with its enacted context.
● Internal Context. It can be argued that a large enough
bounded system (lots of actors/agents, such as an IBM or an
army or a big bureaucracy) can have an internal context. In
this site, we will restrict the term context to the external case so
as to avoid confusion of terminology.
Levels in the General Context
In terms of this site, the general context is not a system, critically, it is
not goal-focused. It simply is!
That said, the context from a human interaction perspective, does
display multiple levels of integration akin to the inherent hierarchy in
a bounded system. Examples of levels of integration in a context
are individuals, family, community, country, and so on. Such levels are
termed micro, mezzo (intermediate), and macro. Just like a bounded
system, you can think of these levels as inevitable inherent structures
within which and across which agents operate. The number of levels
being a function of the size and spread of the context.
Each level of integration has its own character:
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