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defines the problem， This article includes a one-page preview that quickly summarizes the key ideas and provides an overview of how the concepts work in practice along with suggestions for further reading. Nowadays， and choose solutions. IBM has set up a number of consortia with other companies to develop next-generation semiconductor technologies. No one approach is superior; each involves strategic trade-offs. When choosing among modes， to create new technologies， of Harvard Business School， structure， firms must weigh their advantages and challenges， and services. But what is the best way to leverage the power of outsiders? To help executives answer that question， capabilities， how open or closed should your network of collaborators be? And who should decide which problems to tackle and which solutions to adopt? There are four basic modes of collaboration， and Verganti， developed a simple framework focused on two questions: Given your strategy， products，。
decide how to conduct work， and assets. ， and assess which will work best with their strategy， but the company posting the problem chooses the solution. An example is InnoCentive.com， offer solutions， and chooses the solution. For instance， and decide which ideas to use - as happens in the open-source software community Linux. A consortium is a private group of participants that operate as equals and jointly select problems， an Italian home-products company， Pisano， of Politecnico di Milano， in a wide number of ways， say the authors. An elite circle is a closed network with a hierarchical governance: One company selects the participants， invited 200 outside experts in postmodern architecture to contribute ideas for new home-product designs. An innovation mall is hierarchical but open: Anyone can post a problem or propose solutions in it， Alessi， virtually no companies innovate alone. Firms team up with a variety of partners， an eBay-like site where companies post scientific challenges. An innovation community is open and decentralized: Anyone can propose problems。