Otto Koppius is asking the question in his presentation if bridging positions by nature have their own demise predestined? In a position where a bridging firm has power and value as a bridge it puts its self in a position that it may encourage behavior in the network to circumvent it or to crate additional outside alliances to de-power the bridge. The less constrained the bridge firms are, the weaker the bridging position is.
Methodology was an analysis of 500 Gigabytes of product query from the Dutch insurance industry, cataloging the actions and electronic requests of 2025 members. One query took 9 full months to complete during the analysis. One of the analysis metrics is the commission payment in terms of percentage and volume and the homogeneity of the payments shows little constraints, encouraging position shifting of brokers away from the central agency.
The strength of the bridging firm is dependent on the strength and position of the firm being bridged. The Bridged firm has the capacity to alter the relationship and circumvent or out maneuver the bridging firm. However there are potential moves a bridging firm can make to create a symbiotic orientation with one particular bridged firm and prevent a circumvention. To understand a bridging position you must understand those being bridged.
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