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An empirical study of longevity of strategic alliances: An event history analysis
Abstract
This study examines the factors that affect longevity of strategic alliances, highlighting the network structure in which a firm is embedded as an important variable, along with other environmental-level and firm-level variables such as environmental volatility, nationality, and previous experience with strategic alliances. In order to exhibit the need for network analysis in alliance research, this study reviews alliance literature employing resource dependence theory, transaction cost economics, exchange theory, and game theory. This review identifies the limitations and contributions of each theory to the explanation of strategic alliances. In this study, the network structure of existing alliances in which a firm is embedded constitutes a form of social capital and is hypothesized to partially explain the longevity of a strategic alliance. In addition, the relative significance of other factors is empirically assessed. The data are extracted from the CATI (Cooperative Agreements and Technology Indicators) data bank and are analyzed with Cox's regression model across three industries: Food & Beverage, Automotive, and Computer. In the analysis of the combined sample, environmental volatility, nationality, and network structure are found to be important factors affecting the longevity of a strategic alliance. In the analysis of separated samples of each industry, however, the effects of network structure on longevity are not confirmed. The results are compared for each industry. Implications for research and practice are discussed.
Subject Area
Management|Marketing|Social structure
Recommended Citation
Kim, Joongwha, "An empirical study of longevity of strategic alliances: An event history analysis" (1997). ETD collection for University of Nebraska-Lincoln. AAI9734622.
https://digitalcommons.unl.edu/dissertations/AAI9734622