The Repercussions of the Adoption of Information Technology in Co-Operative Innovation

The aim of this chapter is to analyse what repercussion the adoption of certain types of information and communication technology (ICT), by firms, may have on collaborative innovation. It is our belief that tools such as Internet access, e-mail, and the presence of internal and inter-organisational communication networks, will promote and facilitate the signing of cooperative agreements. The empirical analysis performed on a sample of 1,649 firms partially confirms this intuition, since the existence of a network, bringing the firm into contact with its subcontractors, customers, and/or suppliers, increases the propensity of firms to cooperate in innovation.

Sharing Knowledge in Strategic Alliances to Build Collaborative Advantage

This chapter studies the transmission and sharing of knowledge in strategic alliances. First of all, the authors explain the existence of alliances from different theoretical perspectives. They argue that resource and knowledge-based views of the firm offer an adequate approach for the understanding of social and strategic aspects involved in the achieving of a collaborative advantage. Secondly, they examine information technology (IT) tools that are critical for enabling and supporting information and knowledge-sharing processes among partners. Also, they emphasize other important problems that make the effective development of collaborative activities and knowledge sharing in strategic alliances difficult: distrust between partners and cultural barriers in relation to collaboration; the excessive technological and knowledge diversity or similarity among partners that makes learning more difficult; and the governance structure of the alliance. Finally, some practical solutions are proposed: the correct use of IT tools, some organizational measures, human resource practices, and the limitation of the scope of the agreement.

Exploring Trust Building Mechanisms in Global B2B Electronic Markets

There have been numerous studies about business-to-business (B2B) electronic commerce and market structure, most of them analyzing the relationships between buyers and sellers and the role of intermediaries. This research is based mainly on earlier papers about the role of information technology (IT) and electronic communications networks in the companies’ relationships. The use of these computerized inter-organizational networks leads to lower transaction costs, which encourages the development of electronic markets, where there is a severe price competition and greater buyer choice. In this chapter, we analyze the development of global B2B electronic markets and if these markets are becoming a way of improving trust between organizations at an international level, increasing, therefore, the inter-organizational cooperation among them. Based on the literature review and on the analysis of some global electronic markets, we define and describe these platforms, stressing the strategic role of each of the principal participating actors. Furthermore, we propose a model to explain the trust-related sources of competitive advantage for the new intermediaries in electronic markets and compare those with the off-line market’s characteristics. In addition, some propositions related with the trust-building mechanisms are defined.

Intellectual Basis of Research on Alliances

The disorder that is apparent in the literature on inter-organizational relationships makes this field ideal for conducting quantitative studies that clarify the conceptual map and complement existing qualitative research. These latter studies only reflect the point of view of a small number of expert researchers, and hence provide a somewhat biased perspective on inter-organizational relationship research. In this context, a bibliometric study should contribute to giving form to the state of the art. In this chapter, a bibliometric study reveals the theoretical fragmentation of the literature on inter-organizational relationships; maps the most relevant studies and theoretical approaches; and highlights the topics that have been addressed most in this field.

Strategic Alliances for Environmental Adaptation

Although the literature on strategic alliances defines the role of information technologies (IT) as important, any reasoned explanation of it is still anecdotic. This study focuses on a particular type of technological relationship between firms and institutions for developing environmental management innovations through virtual cooperation. It goes into particular depth on the economic and strategic reasons explaining the formation of alliances based on IT. The development of environmental adaptation strategies can be effectively supported with public initiatives for providing advanced, knowledge-intensive services through the creation of technological extension infrastructures. The market’s failure to provide useful public goods for improving environmental development may be corrected effectively using virtual inter-organizational networks facilitating collective learning. This study presents an example of a regional initiative for a cooperative platform based on IT that can result in the assimilation of technological and organizational competences in environmental management by firms located in the area.

The Role of IT in Family Firm Internalization Through Strategic Alliances

In this chapter we analyze the potential impact of information technology (IT) on the internationalization processes of family firms via cooperation agreements. With this in mind, we address the main research questions concerning the management of family firms and internationalization processes via strategic alliances. Subsequently, we carry out an analysis to determine IT’s impact on family firms’ internationalization processes. Our conclusions and the future trends that we observe suggest that family firms should undertake a series of internal adjustments in order to exploit, with more possibility of success, the changes resulting from the technological integration processes that can be expected in the near future.

Product and Market Diversification and the Stock Market Response to Business Combinations

In this chapter, we analyzed the stock market reaction to internationalization and diversification of the European telecom firms through acquisitions or strategic alliances. We analyzed these operations with the purpose of verifying to what extent the stock market reaction to these business combinations is influenced by information asymmetry, resource complementarity, and management costs. There are two main findings of this work. First, while acquisitions are more valued when entering into one of the more related businesses—telecommunication equipment shops—alliances, however, are only positively valued in the less related businesses. Second, the strength of the competitive position of the firm moderates the relationship between product and market diversification and abnormal returns.

Alliances and Information Technology

This chapter is organized into three sections. In the first section we briefly define some basic concepts about alliances, their attributes, the differences between them and traditional structures, and the types of alliance. The second section analyzes the state of the art in the literature on alliances. We stress the conceptual evolution in organizational design and the main theoretical approaches explaining alliance formation. The final section analyzes the role of information technology (IT) in the formation and running of alliances. In this respect, we stress the impact of IT on organizational structures in general, and on inter-organizational relationships in particular, with these relationships being based on the so-called inter-organizational systems.

AVEA

During the past 10 years, emerging factors such as globalization, rapid technological developments, and limited resources have created a new competitive landscape for firms. These developments forced companies to adopt several strategies to survive and excel. One of these adaptive strategies was to form alliances between companies to manage both threats and opportunities in this changed business environment. This study focuses on the merger between two GSM operators in Turkey. The newly established firm, AVEA, is an example of a successful merger in the Turkish telecommunications sector that was well thought-out, efficiently designed, and realized within a year. The most important ingredient in this process was the change in information technology (IT) infrastructures. This study, primarily concerned with the structural changes in the IT department, presents a detailed analysis of the merger process’s different aspects and comments based on literature review about information and communication technologies.

Inter-Organizational Information Systems and Strategic Alliances

In this chapter we analyze the relationships between the structures of inter-organizational information systems (IOS) and strategic alliances. The relationships between both structures tends to be framed within a collaborative dynamic in which the IOS serves the objectives of the alliance, thereby reinforcing the links that bind the alliance members together. However, in this chapter we also suggest that there may be a non-collaborative—that is, competitive—relationship between the IOS and the strategic alliance, especially when both structures compete for firms fromthe same sector and geographical area. To test our hypotheses we have analyzed a sample of 162 firms belonging to the agro-food sector in Spain.