Table 1 Limitations of BA Model in Modelling SCNs

Does not account for internal link formations (Barabasi, 2014)

In a SCN, new links may not only arrive with new firms but can be created between the pre-existing firms.

Cannot account for node deletion (Barabasi, 2014)

Firms may exit a given SCN over time.

An isolated node is unable to acquire any links since according to preferential attachment, the probability of a new node connecting to an isolated node is strictly zero (since the connection probability is governed by the existing number of connections).

In reality, any firm has a certain level of initial attractiveness.

Assumes that all firms within the supply network are homogeneous in nature with no differentiation other than the topological aspects (Hearnshaw and Wilson, 2013).

Real SCNs include firms with high levels of heterogeneity beyond the number of dealings or connections with other firms.

The key requirement of the preferential attachment rule is that every new node joining the network must possess complete and up-to-date information about the degrees of every existing node in the network.

Such information is unlikely to be readily available in a real world setting – for example, when considering a manufacturer for a new partnership, full information about the number of their current suppliers and clients is unlikely to be available (Smolyarenko, 2014). Therefore, an algorithm which relies on local information is deemed more suitable. For example, see Vázquez (2003).

Network growth by preferential attachment produces a decaying clustering coefficient as the network expands.

May not be a realistic representation of exchange relationships and concentration of power in firms within the real SCNs (Hearnshaw and Wilson, 2013).