Post‐formation dynamics in strategic alliances

Abstract

This paper investigates the occurrence and determinants of post‐formation governance changes in strategic alliances, including alterations in alliances' contracts, boards or oversight committees, and monitoring mechanisms. We examine alliances in the biotechnology industry and find that firms' unique alliance experience trajectories affect the likelihood of such ex post adjustments in these partnerships. Transactional features such as the alliance's scope, its division of labor, and the relevance of the collaboration to the parent firm also bear upon alliances' dynamics. We discuss the implications of these findings and how they complement prior research focusing on alliance design or termination at opposite ends of the alliance life cycle. Copyright © 2002 John Wiley & Sons, Ltd.

Outcome-based contracts as new business model: The role of partnership and value-driven relational assets

“…Literature in strategic alliance suggests that a successful alliance must be able to cooperate and combine resources of parties in the most efficient and effective manner (Gulati & Singh, 1998;Nickerson & Zenger, 2004). Conceptual and empirical studies in alliance literature have highlighted the difficulties of achieving such coordination, citing the sharing of information, cultural differences and management of conflict as the three more prevalent challenges (Das & Teng, 2000;Dyer & Singh, 1998;Reuer, Zollo & Singh, 2002). Coordination is essential in the pooling of resources, division of labour, and integration of activities -all considered critically important to the survival of an alliance (Sobrero & Schrader, 1998).…”

What counts as ‘results’ in capacity development partnerships between water operators? A multi-path approach toward accountability, adaptation and learning

“…The perceived benefits and/or overall satisfaction of partners with the knowledge transfer process have been frequently proposed and used empirically as an indication of alliance performance (Becerra-Fernandez & Sabherwal, 2001;Brinkerhoff, 2002;Chini, 2004). Perceptual measures are claimed to be just as important and informative as more objective ones (Becerra-Fernandez & Sabherwal, 2001;Reuer et al, 2002;Sammarra & Biggiero, 2008). The degree of satisfaction of partners and stakeholders can provide valuable insights into the direction that the project is following and contributing and constraining factors, which provide information supportive for adaptive and learning purposes.…”

The role of incentives and communication in strategic alliances: an experimental investigation

“…Strategic alliances are ongoing cooperative relationships and represent an important organizational form for governing transactions (Reuer, Zollo, and Singh, 2002;Zaheer and Bell, 2005). Strategic alliances have the potential to create economic value (Gulati and Singh, 1998;McEvily and Zaheer, 1999) and, on average, empirical evidence corroborates this view (Chan et al, 1997;Sarkar, Echambadi, and Harrison, 2001).…”