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Article
Publication date: 1 March 1997

William A. Drago

Suggests that strategic alliances have become a popular competitive weapon, yet knowledge of when effectively to use this interorganizational relationship remains scarce…

Abstract

Suggests that strategic alliances have become a popular competitive weapon, yet knowledge of when effectively to use this interorganizational relationship remains scarce. Examines the use of strategic alliances in the information technology industry. Develops several propositions for the effective use of this competitive weapon, based primarily on the matching of the benefits of strategic alliances to existing and forecast situational characteristics of the information technology industry.

Details

Industrial Management & Data Systems, vol. 97 no. 2
Type: Research Article
ISSN: 0263-5577

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Article
Publication date: 1 February 2021

Nisha Bamel, Vijay Pereira, Umesh Bamel and Giuseppe Cappiello

This paper aims at reviewing the extant knowledge management (KM) research field within a strategic alliance context to understand the historical roots, its temporal…

Abstract

Purpose

This paper aims at reviewing the extant knowledge management (KM) research field within a strategic alliance context to understand the historical roots, its temporal progression, current state and potential future in a meaningful way.

Design/methodology/approach

Data for this study was retrieved from the Scopus database using a systematic literature search process. The bibliometric characteristics of 393 research documents were analyzed using bibliometric and structured network analysis.

Findings

The findings of the study suggest that the publication in the field have been growing with an average rate of 8.48%. This analysis also lists the most productive and impactful authors, main outlets, and the most impactful secondary and primary publication in the field. In addition, the conceptual and intellectual structure of the research field was constructed and discussed.

Originality/value

This paper uses an objective and quantitative approach by reviewing the related publications and virtually included all the relevant publications in the analysis, which was seen to be uneconomical when doing traditional literature reviews.

Details

Journal of Knowledge Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1367-3270

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Article
Publication date: 12 October 2015

Rosemary Muange and Loice C. Maru

The purpose of this paper is to determine the effect of strategic alliances on firm performance and the moderating effect of firm size in retail firms in Nairobi County in…

Abstract

Purpose

The purpose of this paper is to determine the effect of strategic alliances on firm performance and the moderating effect of firm size in retail firms in Nairobi County in Kenya.

Design/methodology/approach

Resource Dependency Theory was used to guide the study. The study adopted explanatory research design. Questionnaires were used to collect data from sample of 216 respondents through stratified and simple random sampling technique. The study used inferential statistics to test hypotheses.

Findings

Study findings indicated that joint marketing alliances, procurement-supplier alliances, joint manufacturing alliances and technology development alliances have significant and positive effect on firm performance. Based on the findings, creating a joint marketing, procurement-supplier, joint manufacturing and technology development alliances mostly enhance firm performance.

Research limitations/implications

The study considered only one county out of 47, although this county hosts the capital city, where most of the firms considered are located. It therefore is representative of all counties and firms considered in this study. It also considered top management staff and thus may have an effect since the lower cadre staff were not considered. However, most of the required information was expected from top management since these are the ones who make decisions, and hence most affected by strategic alliances.

Practical implications

This study has practical implication on firm performance because it has established that strategic alliance improves on overall firm performance. This manifests itself in terms of improve productivity, production efficiency and profitability. It also helps in the availability of products to the end users.

Social implications

Through improved productivity, efficiency and profitability, this translates to improved terms of payment of staff and hence improved quality of lives of their families and communities within which they live. It also enables the firms to participate more in corporate social responsibility projects which in turn improves the standard of living of the communities around them.

Originality/value

The study has provided an empirical insight on the importance of strategic alliance on firm performance. This is the first study done in the Kenyan context concerning strategic alliances formed by firms to improve on their performance especially on retail firms.

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Book part
Publication date: 25 January 2021

Desalegn Abraha and Akmal S. Hyder

This chapter highlights and examines the journey of strategic alliances, how alliances lead to the creation of new alliances, and whether alliances succeed or precede…

Abstract

This chapter highlights and examines the journey of strategic alliances, how alliances lead to the creation of new alliances, and whether alliances succeed or precede firms' market networks. Moreover, the chapter attempts to identify the market and environmental factors which impact the journey and the end result of alliances. The findings show that before the alliance and in the early strategic alliance phase, firms can have direct and indirect relationships/networks which can lead to the formation of strategic alliances. The other finding is that one of the main factors which determines the journey of strategic alliances is the degree of internationalization of the firm and the market. The journey of alliances was also found to be different in the various groups of Eastern and Central Europe (ECE) countries depending on the pace or degree of adaptation of those countries. It was also found that well-developed networks have a positive impact on the alliance results. Moreover, the chapter also provides evidence that alliances enable firms to defend and strengthen existing networks to build new networks and to penetrate partners' networks. It is finally observed that it is difficult to determine whether alliances succeed or precede networks.

Details

Transformation of Strategic Alliances in Emerging Markets, Volume I
Type: Book
ISBN: 978-1-80043-745-6

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Book part
Publication date: 27 June 2017

Rimi Zakaria and Ömer F. Genç

Although primarily treated as two distinct research streams, strategic alliances and mergers and acquisitions together occupy much of the strategic management discourse…

Abstract

Although primarily treated as two distinct research streams, strategic alliances and mergers and acquisitions together occupy much of the strategic management discourse. Alliances, in many cases, end in acquisitions as firms use alliances as intermediate strategic options to eventually acquire a partner. As the discipline of strategy matures and the frequency and the volume of inter-firm cooperation continue to rise, it is imperative to integrate these two research streams for a holistic understanding of the theory of the firm. The purpose of this conceptual piece is threefold. First, we review the extant studies that combine these two governance modes: alliance and acquisitions. Second, drawing on the dominant strategic management theories, we highlight how prior inter-firm alliances inform future acquisitions in terms of (a) pre-combination decisions, (b) post-deal integration processes, (c) alternatives and strategies, and (d) performance outcomes. Finally, in view of the emerging trends and evocative gaps, we offer a conceptual road map to encourage future theoretical development and empirical research.

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Article
Publication date: 31 July 2020

Jorge Ferreira, Arnaldo Coelho and Luiz Moutinho

This study delves in the controversy about the nature and the sign of the effect of strategic alliances and exploration and exploitation capabilities on innovation and new…

Abstract

Purpose

This study delves in the controversy about the nature and the sign of the effect of strategic alliances and exploration and exploitation capabilities on innovation and new product development. The paper analyses the effects of knowledge sharing and strategic alliances relationships at the firm level. Specifically, we study the influence of strategic alliances relationships in new product development and the mediating role of exploration and exploitation as dynamic capabilities.

Design/methodology/approach

This investigation proposes a theoretical model tested using structural equation modeling (SEM). The multigroup analysis was performed to understand the moderating role of. A questionnaire survey was developed to explore the relations between strategic alliances and innovation and new product development variables. For this study, 387 valid questionnaires were collected from a sample of Portugal SME' firms. A 90-item questionnaire was submitted to employees managers of a large number of Portuguese SMEs, which consists to study the relationships among all the variables.

Findings

The results show that exists a positive direct influence of strategic alliances on innovation and new product development, and mediating impact the exploration and exploitation by the moderating role of knowledge sharing.

Research limitations/implications

This study has some methodological limitations affecting its potential contributions. A cross-sectional study that captures one image in time and its ability to identify strict causality between variables is limited. Furthermore, the results are based on log collected from a key respondent, rather than broader actual data. The results are restricted to one country, Portugal. Future research should initially target different countries. Such research could then test the generalizability of the results.

Practical implications

To fill this managerial relevance gap, we propose a process model in which the main antecedents of alliance stability will be examined. We argue that an alliance's evolutionary dynamics depend on these factors and variables that the partners must assess and manage over its developmental stages. In this sense, managers have significant scope to influence the ultimate success of strategic alliances. This study highlights the need to actively manage the cooperation – competition (coopetition) tension with the alliance partner and to apply the knowledge acquired from the partner to create new knowledge to enhance innovative performance

Originality/value

This paper contributes to fill the gap between strategic alliances and new product development mediated by exploration and exploitation in the dynamic capabilities view.

Details

Management Decision, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 28 August 2020

Chethan D. Srikant and Bethany Lessard

Changes in societal preferences can have a significant impact on the business strategy of companies. This paper aims to illustrate the utility of strategic alliances in…

Abstract

Purpose

Changes in societal preferences can have a significant impact on the business strategy of companies. This paper aims to illustrate the utility of strategic alliances in channelizing societal preferences.

Design/methodology/approach

LEGO and its many strategic alliances are carefully examined to illustrate the need for considering strategic alliances from a societal preference perspective. LEGO’s strategic alliances are juxtaposed with two major societal trends of the past few decades, environmental movement and multiple efforts toward greater inclusivity.

Findings

The following important lessons are elaborated for helping business organizations pursuing strategic alliances: long-term orientation should not become an excuse for complacency, need for alignment of organizations within the strategic alliance, strategic alliances should be viewed as a bidirectional channel for influence and attending to internal transformations is crucial for success.

Originality/value

This paper deviates from the traditional treatment of strategic alliances as a business arrangement that only drives financial performance but instead provides insights into how strategic alliances can be connected to changing societal preferences. It also challenges the received wisdom in the academic literature on strategic alliance, which is dominated by some very restrictive theoretical perspectives.

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Article
Publication date: 15 July 2020

Andrea Cardoni, George H. (Jody) Tompson, Michele Rubino and Paolo Taticchi

The purpose of this paper is to analyze three characteristics of strategic alliances in Italy to estimate their influence on financial performance. The authors test how…

Abstract

Purpose

The purpose of this paper is to analyze three characteristics of strategic alliances in Italy to estimate their influence on financial performance. The authors test how alliance complexity, strategic planning and accounting control influence revenue growth, asset growth and EBITDA margin.

Design/methodology/approach

This paper uses contractual and financial data to test hypothesized relationships in structural equation modelling (SEM) using partial least squares (PLSs).

Findings

This paper highlights that the extent of strategic planning positively influences the growth in assets but not in revenue or EBITDA margin. In addition, the findings of this paper support the idea that the complexity in the alliance is significantly related to the quantity of accounting controls within alliance.

Originality/value

This paper improves existing research on the subject, as it contributes to open the black box of alliances’ internal operations by examining the details of 50 Italian contracts to create a multidimensional profile of each alliance.

Details

Measuring Business Excellence, vol. 24 no. 4
Type: Research Article
ISSN: 1368-3047

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Article
Publication date: 5 August 2019

Rui Xue, Gongming Qian, Zhengming Qian and Lee Li

Much of the extant evidence in the marketing literature posits that firms use strategic alliances to share resources, costs and risks as paths to performance improvements…

Abstract

Purpose

Much of the extant evidence in the marketing literature posits that firms use strategic alliances to share resources, costs and risks as paths to performance improvements. Drawing from the organizational ecology theory, this study aims to propose a different rationale, namely, that strategic alliances protect a firm’s core structure – its stated goals, authority structure, core technologies and marketing strategies – by mitigating the need for hazardous changes in hostile environments.

Design/methodology/approach

This study collected quantitative data using market survey and analyzed the data with the regression method.

Findings

Using Chinese firms in three technology industries as the research setting, this research finds a positive and significant relationship between environmental hostility and core structure dynamism. Although strategic alliances themselves have no direct bearing on core structure dynamism, they are found to moderate this relationship negatively, that is, strategic alliances attenuate the relationship between environmental hostility and structural changes.

Research limitations/implications

This paper argues that strategic alliances have significant moderating effects on firm performance, that is, firms use strategic alliances to outsource competence to partners and, thus, avoid internal turmoil. However, the moderating effect alone cannot explain the complexity of strategic alliances. There could exist other effects that remain unknown. In addition, individual-level factors could have significant impacts on strategic alliance management. Future studies should look into these issues to advance the authors’ knowledge on strategic alliances.

Practical implications

The findings of this study show that managers should outsource competence to partners when they experience turmoil in markets. Adapting to market turmoil internally could lead to market failure.

Originality/value

This study provides a new rationale for strategic alliances, that is, firms use strategic alliances to reduce market uncertainty. This rationale has not been reported in the existing literature.

Details

Journal of Business & Industrial Marketing, vol. 34 no. 7
Type: Research Article
ISSN: 0885-8624

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Article
Publication date: 9 December 2019

António Ferreira and Mário Franco

The purpose of this paper is to analyse the influence of strategic alliances (knowledge/learning, efficiency and market motives) on the development of human capital.

Abstract

Purpose

The purpose of this paper is to analyse the influence of strategic alliances (knowledge/learning, efficiency and market motives) on the development of human capital.

Design/methodology/approach

To do so, a quantitative study was chosen, with data on technology-based small and medium-sized enterprises (SMEs) in Portugal, leading to 257 valid answers.

Findings

The results obtained from a structural equation model show that motives for strategic alliances (knowledge/learning, efficiency and market) have a strong influence on the human capital of the SMEs analysed.

Practical implications

These outcomes reveal that strategic alliances are a way for SMEs to overcome resource constraints in terms of human capital, representing an important implication for business practice. As strategic alliances influence human capital, the relations SMEs establish with other firms are increasingly important for their sustainability and development. Acting in isolation in the market can reduce this type of firm’s chances of survival.

Originality/value

Despite some studies relating the formation of strategic alliances and human capital, there is a gap regarding the relationship between the role of strategic alliances and human capital in the technology-based sector. Therefore, this research represents a contribution and innovation in academic terms in this area.

Details

EuroMed Journal of Business, vol. 15 no. 1
Type: Research Article
ISSN: 1450-2194

Keywords

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