Structuring interorganizational cooperation: The role of economic integration in strategic alliances

Research output: Contribution to journalArticlepeer-review

81 Scopus citations

Abstract

This study addresses a new dimension that describes interdependence between alliance members, namely, economic integration-the extent to which resources contributed by different alliance members and subsequent operations using these resources are effectively blended into an alliance's value chain to the point where if one member withdraws, the remaining member(s) suffer great loss. We posit that economic integration has a linear positive effect on alliance stability but a curvilinear (diminished) effect on alliance profitability. Moreover, when economic integration is stronger, other dyadic variables such as interparty trust, joint governance and procedural justice will have a greater effect on alliance performance. Analysis of 198 cross-cultural strategic alliances in an emerging market generally supports these propositions.

Original languageEnglish (US)
Pages (from-to)617-637
Number of pages21
JournalStrategic Management Journal
Volume29
Issue number6
DOIs
StatePublished - Jun 1 2008

Keywords

  • Economic integration
  • Inter-firm exchange
  • Strategic alliances

ASJC Scopus subject areas

  • Business and International Management
  • Strategy and Management

Fingerprint

Dive into the research topics of 'Structuring interorganizational cooperation: The role of economic integration in strategic alliances'. Together they form a unique fingerprint.

Cite this