Environmental turmoil and firms’ core structure dynamism: the moderating role of strategic alliances

2019 ◽  
Vol 34 (7) ◽  
pp. 1619-1638 ◽  
Author(s):  
Rui Xue ◽  
Gongming Qian ◽  
Zhengming Qian ◽  
Lee Li
Keyword(s):  
Strategic Alliances ◽  
Market Failure ◽  
Strategic Alliance ◽  
Structural Changes ◽  
Core Structure ◽  
Market Uncertainty ◽  
Content Type ◽  
Individual Level ◽  
Performance Improvements ◽  
Environmental Hostility

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.

Measuring intellectual capital in a firm belonging to a strategic alliance

2015 ◽  
Vol 16 (1) ◽  
pp. 174-198 ◽  
Author(s):  
Stefania Veltri ◽  
Andrea Venturelli ◽  
Giovanni Mastroleo
Keyword(s):  
Decision Making ◽  
Expert System ◽  
Intellectual Capital ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Empirical Work ◽  
Organizational Level ◽  
Decision Making Process ◽  
Content Type ◽  
Scant Attention

Purpose – The purpose of this paper is to propose a method to measure intellectual capital (IC) in firms involved in strategic alliances, an area that has received scant attention in the literature, as existing research is focused mainly on organizational level mainly and increasingly on macro-level unit such as regions or nations. There are very few works at the meso-level (i.e. alliances, clusters), and the paper aims to fill this void, by providing researchers and practitioners with a tool capable of combining measurement and management aims, developed at organizational level with the active participation of the researchers. Design/methodology/approach – The method of analysis is based on a model formalized through a fuzzy expert system (FES). The FES are able to merge the capabilities of an expert system to simulate the decision-making process with the vagueness typical of human reasoning, maintaining the ability to still have a numeric value as a response. Its construction requires the participation of experts, whose knowledge of the problem is accumulated in the form of blocks of rules. These features make it possible to formalize the decision-making process related to the IC valuation, handling qualitative and quantitative variables, and exploring the cognitive mechanisms underlying this process. Findings – The outcome of the application is a system designed to measure the intangible performance deriving from participation in a strategic alliance using FES. This study contributes to the broadening of the research community’s understanding regarding the alternative measurement of IC created within strategic alliances. Research limitations/implications – To the best of the authors’ knowledge, IC literature lacks methods expressly designed to measure the incremental value of IC originating from collaboration among firms. From a measurement perspective, the results may be regarded as valuable proof that IC performance within strategic alliances can be measured quantitatively. Practical implications – On the management side, the possibility of retracing the determinants of different IC intermediate indicators composing the final IC index allows strategic alliances managers to use this information for decision-making purposes. Originality/value – To the best of the authors’ knowledge this is the first study applying FES to measure IC in a firm belonging to a strategic alliance. In the authors’ opinion, fuzzy logic methodology, recently applied in empirical work designed to evaluate IC, represents a reliable methodology because of the “fuzzy” nature of IC.

Knowledge management within a strategic alliances context: past, present and future

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nisha Bamel ◽  
Vijay Pereira ◽  
Umesh Bamel ◽  
Giuseppe Cappiello
Keyword(s):  
Knowledge Management ◽  
Strategic Alliances ◽  
Design Methodology ◽  
Strategic Alliance ◽  
Average Rate ◽  
Research Field ◽  
Intellectual Structure ◽  
Content Type ◽  
Current State ◽  
Literature Reviews

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.

The Sicilian cooperative system of wine production

2020 ◽  
Vol 32 (3) ◽  
pp. 391-421
Author(s):  
Valeria Borsellino ◽  
Francesca Varia ◽  
Cinzia Zinnanti ◽  
Emanuele Schimmenti
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Cooperative System ◽  
Agricultural Policies ◽  
Strategic Choices ◽  
Wine Production ◽  
Content Type ◽  
Structural Problems ◽  
Long Run

Purpose The purpose of this paper is to verify whether, besides the traditional organisational models mainly implemented by wine-making cooperatives, more modern and hybrid organisational forms can be profitably applied within an increasingly competitive wine market. Design/methodology/approach The study outlined in this paper deployed a mixed method. Specifically, an archived analysis, a survey and a descriptive case study (including visits, interviews and documentary analysis) were the methodological techniques used in this study, which were “in series but integrated” between themselves. In this paper, the landscape of Sicilian wine cooperatives is described by collating and processing different types of statistical sources, which have been integrated by direct surveys undertaken in 2017. Thereafter, the study focussed on a wine cooperative with a specific business model and a strategic edge by analysing its strategic choices and main structural and governance characteristics. Within this case study, a financial ratio analysis, which was based on 2011-2017 financial statements, was conducted to analyse the profitability, financial balance, capital structure and debt relationships of the wine cooperative. Findings The Sicilian wine cooperative system is still predominantly characterised by partial and vertical integration, implemented by cooperatives which elect to sell mainly bulk wine to wine merchants. In such a context, there is scope for other degrees of integration and strategic inter-firm alliances; the latter includes “vertical quasi-integration”. The study demonstrated how the wine cooperative under investigation is overcoming the structural problems of the regional wine sector and why it is retaining such a strategic alliance with one of the most important Italian wine conglomerates. Indeed, it has acquired greater strength and reliability since its collaboration with the aforementioned wine company. Thus, total revenue and the company’s market share of packaged wine have increased. However, there are still margins for improving sales’ profitability. Research limitations/implications This study has territorial limitations but Sicilian wine cooperatives generally play an important role in the regional, Italian and European wine industries. As such, this research should be considered as an exploratory study, deserving further investigation into different strategic choices within the wine cooperative system by performing cross-case comparisons. Results may also be useful in orienting cooperative strategies in Sicily (or further afield) to small-to-medium wine cooperatives, often lacking specific abilities relating to the distribution, marketing and selling of their wine. Public agricultural policies may also be enlightened by these research pathways. Originality/value The authors contend that their study provides hitherto missing information relating to inter-firm strategic alliances, which wine cooperatives might implement to enhance their competitiveness and survive in the long-run.

Knowledge transfer in Hero Motor Corp Ltd.

2014 ◽  
Vol 13 (6) ◽  
pp. 260-263
Author(s):  
Geeta Rana ◽  
Alok Kumar Goel ◽  
Ajay Kumar Saini
Keyword(s):  
Knowledge Transfer ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Influencing Factor ◽  
Transfer Of Knowledge ◽  
Content Type ◽  
Wide Range ◽  
The Us ◽  
Cross Country

Purpose – This paper aims to examine the issues of knowledge transfer in international strategic alliance within Hero Moto Corp. Ltd., an Indian multinational company. International Strategic alliances have been increasing in numbers in the past decades and transfer of knowledge and its transfer in multinational companies is wider debate. The case explores the complex issues involved in cross-organization and cross-country transfer of knowledge. The company has forged a strategic alliance with the US-based Erik Buell Racing for accessing technology and design inputs. Design/methodology/approach – It presents a structured case study that examines a wide range of knowledge transfer issues of international strategic alliance. Findings – It reveals that a major influencing factor is the national culture of the parents and that of the host country which provides the context with in which alliances are operate. It is also explored the ways in which the multi-parentage of strategic alliances influences their Human Resource Management (HRM) policies and practices. Originality/value – It provides plenty of useful information on an issue that affects virtually every employee and organization.

Avoiding alliance myopia: forging learning outcomes for long-term success

2014 ◽  
Vol 35 (4) ◽  
pp. 37-44 ◽  
Author(s):  
Hamid Mazloomi Khamseh ◽  
Maryam Nasiriyar
Keyword(s):  
Learning Outcomes ◽  
Strategic Alliances ◽  
Design Methodology ◽  
Strategic Alliance ◽  
Two Dimensions ◽  
Alliance Portfolio ◽  
Content Type ◽  
Intended Learning Outcomes

Purpose – The purpose of this paper is to develop a framework for understanding the learning outcomes of strategic alliances. Design/methodology/approach – On the basis of two dimensions of any strategic alliance – that is, similarity or dissimilarity of contribution of partners and explorative or exploitative nature of alliance – the author proposes a framework that recognizes four types of learning outcomes. Findings – The distinction of four types of alliance enables the author to identify their distinctive characteristics and learning outcomes. Originality/value – The paper increases the awareness of managers about the learning outcomes of strategic alliances, which helps managers to consider intended learning outcomes not only in planning, managing and evaluating any individual alliance but also in managing the alliance portfolio.

scholarly journals AN INVESTIGATION INTO FACTORS INFLUENCING INTERNATIONAL STRATEGIC ALLIANCE PROCESS

2003 ◽  
Vol 5 (3) ◽  
pp. 273
Author(s):  
Sari Wahyuni ◽  
Theo J.B.M. Postma
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Process Development ◽  
Governance Structure ◽  
Market Uncertainty ◽  
Unified Framework ◽  
Firm Capabilities ◽  
Cooperative Process ◽  
Phases Of Development ◽  
Cooperative Relationship

Empirical research indicates that strategic alliances, like other organizational forms, emerge as an adaptive mechanism to market uncertainty, and their developments over time reflect the co-evolution of distinctive firm capabilities and of industry and market activities. Interestingly, most strategic alliances go through similar revolutionary cycles in terms of their motives and capabilities toward the cooperative relationship. Studies in this areas how that alliance failure is an outcome of the co-evolutionary adjustment to changes in the market, the competitive dynamics between partners, and assessment of efficiency of the alliance as an alternative governance structure. It is thus critical to adopt a dynamics perspective and historical observations of cooperative process. This paper attempts to distil, derive and integrate theories across different perspectives into a unified framework that offers a better understanding of alliance process development. Our analysis shows that we can divide strategic alliance development into three phases of development: formation, operation and evaluation. We further endeavor to seek the important factors that should be taken into account in each stage of their life.

Relational capability and strategic alliance portfolio configuration

2018 ◽  
Vol 13 (5) ◽  
pp. 1026-1049 ◽  
Author(s):  
Priscila Rezende da Costa ◽  
Sergio Silva Braga Junior ◽  
Geciane Silveira Porto ◽  
Marta Pagán Martinez
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Explicit Knowledge ◽  
Statistical Tests ◽  
Governance Structure ◽  
Governance Mechanisms ◽  
Informal Governance ◽  
Alliance Portfolio ◽  
Content Type ◽  
Trust And Reciprocity

Purpose The purpose of this paper is to focus on evaluating relational capability regarding the configuration of a network of technological partners in Brazilian technology-based firms (TBFs). Design/methodology/approach The data were collected using an online questionnaire made available to technology-based companies resident in Brazilian Technological Parks. A total of 73 companies responded. The data were analyzed using bivariate and multivariate statistical techniques and were processed using Statistical Package for Social Sciences software. The statistical tests included factor analysis, Cronbach’s α and multiple regression. Findings The paper shows that the strategic alliance portfolio is influenced by organizational learning, diversity of partners, governance structure, intensity of partnership relations and configuration. In particular, the portfolio of alliances with competence orientation is characterized by tacit knowledge exchanges and learning exploration, homogeneity of partners, informal governance mechanisms, strong bonds of trust and reciprocity with partners and low diversification of actors’ profiles, their attributions and the results obtained in the portfolio. Meanwhile, the characteristics of alliance portfolios with legitimacy orientation include explicit knowledge exchange and learning exploitation, heterogeneity of partners, formal governance mechanisms, weak bonds of trust and reciprocity with partners and high diversification of the profile of the actors, their attributions and the results obtained from the portfolio. Practical implications The configuration of the alliance portfolio plays an important role in innovation. To stimulate the creation of new technological skills, the executive of a technology-based company from emerging countries such as China, Russia and India, can configure the portfolio of strategic alliances with more homogeneous partners in terms of profile and attribution. However, if this executive is challenged to seek legitimacy and complementary resources in these markets he can invest in the diversification of the strategic alliance portfolio, prioritizing partners with differentiated profiles and attributions. Originality/value The originality of the research lies in the adoption of a complementary and multidimensional theoretical prism, considering the relational capacity of TBFs in the configuration of alliances, both in the intra-firm and portfolio perspective. Furthermore, it was considered that the configuration of alliances can be based on both competence and legitimacy factors.

Strategic alliances on performance of retail firms in Nairobi County, Kenya

2015 ◽  
Vol 27 (6) ◽  
pp. 732-740 ◽  
Author(s):  
Rosemary Muange ◽  
Loice C. Maru
Keyword(s):  
Firm Performance ◽  
Strategic Alliances ◽  
Production Efficiency ◽  
Strategic Alliance ◽  
Technology Development ◽  
Practical Implication ◽  
Capital City ◽  
Top Management ◽  
Content Type ◽  
Marketing Alliances

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.

Changing in sync with societal preferences: LEGO masters strategic alliances

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chethan D. Srikant ◽  
Bethany Lessard
Keyword(s):  
Strategic Alliances ◽  
Business Strategy ◽  
Strategic Alliance ◽  
Business Organizations ◽  
Traditional Treatment ◽  
Content Type ◽  
Academic Literature ◽  
Theoretical Perspectives ◽  
Societal Preferences

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.

scholarly journals How knowledge acquisition creates a competitive edge? A qualitative inquiry from international consultancy alliance

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Shakeel Aslam ◽  
Imran Ali ◽  
Ahmad Qammar ◽  
Lea Kiwan ◽  
Amandeep Dhir
Keyword(s):  
Knowledge Acquisition ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Qualitative Inquiry ◽  
Local Market ◽  
Content Type ◽  
Study Approach ◽  
Competitive Edge ◽  
Chinese Firm ◽  
Alliance Partners

PurposeThe current study attempts to bridge the existing gap related to the role of knowledge acquisition from international alliance partners to improve competitiveness by examining the distinct processes of knowledge acquisition and the challenges confronted in this learning process in order to enhance local and international market performance.Design/methodology/approachFollowing case-study approach based on systematic combining, the study presents a case of knowledge acquisition and learning in the context of an international consultancy alliance between leading Pakistani and Chinese engineering firms using six in-depth interviews of key engineers to explore the dynamic mechanisms for knowledge acquisition and learning from the Chinese firm. Grounded analysis drawn upon the Straussian version of grounded theory (GT) {{Strauss, 1990 #136} Strauss, 1998 #139} is used for data analysis in this research.FindingsIt was found that the processes of explicit and implicit knowledge acquisition from Chinese firms are integrated consultancy working, social and technical adaptability and seeking confirmation about the work done and knowledge/theories and models used in work. However, these processes are quite complex, posing serious challenges for National Engineering Services, Pakistan to acquire the required knowledge, which can be addressed through partners' motivation to share and acquire knowledge, cultural intelligence and friendship and informal association. The study also found that the knowledge acquired from technologically advanced international organizations by the host partner in the international strategic alliance not only provides a competitive edge to the local host in its local market but also builds its capacity to undertake similar projects in other parts of the world, substantially enhancing its market success.Originality/valueAdding up to the current literature that focuses on knowledge acquisition in a parent-subsidiary relationship, the current research proposes a framework for knowledge acquisition in the unique context of international strategic alliances. The research provides managerial guidelines to manage knowledge acquisition for gaining a competitive edge that would be helpful for the managers in the era of growing interdependence among the organizations across the borders.

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